Four UK pharmaceutical and biotechnology SMEs have won the opportunity to promote their innovations at BIO 2013 in Chicago (22–25 April).

The winners of the UK Trade and Investment (UKTI) Innovation Competition are Abcodia, Critical Pharmaceuticals, Nanomerics and PsiOxus Therapeutics.

The companies will receive £1,500 towards flights and accommodation, and a year’s free membership of the BioIndustry Association (BIA).

The UKTI Innovation Competition, open to life science SMEs in the UK, highlights excellence in groundbreaking technologies for a global audience.

As the world’s largest biotechnology event, attended by delegates from more than 65 countries, the BIO Convention represents a major opportunity for small UK companies to make contacts.

Abcodia (London) discovers and validates biomarkers for the early detection and screening of cancer. Critical Pharmaceuticals (Nottingham) is developing a pipeline of recombinant protein and peptide therapies, using patented drug delivery technologies. Nanomerics (London) is a speciality pharmaceutical company that uses patented nanotechnology to boost the performance of known drugs. PsiOxus Therapeutics (Oxfordshire) is developing novel therapies for cancer and other life-threatening diseases.

Gareth King, CEO of Critical Pharmaceuticals, said: “We have recently announced the results of a second clinical study on our intranasal growth hormone product demonstrating clinical proof of concept, and look forward to meeting with commercial partners at BIO 2013 to progress the product into phase 2/3 clinical development.”

“Nanomerics is delighted to be able to showcase to a global audience its Molecular Envelope Technology, which boosts the activity of drugs and gets them where they need to be,” explained Andreas Schatzlein, CEO of Nanomerics. “In a time of undiminished medical need and increasing economic pressure it is crucial that we make the most of the drug compounds that we already understand.”

The new Patent Box tax break, active from 1 April, has been welcomed by the pharmaceutical and biotechnology industries as a boost to innovation.

By setting a corporation tax rate of 10% on profits earned from patents and supplementary protection certificates, the Patent Box is expected to strengthen life science R&D in the UK.

The tax break, which extends to royalty and milestone payments, comes together with the introduction of a special 10% rate of R&D tax credits.

The special 10% tax rate is a major cut from the current corporation tax rate of 23%, which falls to 21% in 2015. It will be phased in over four years, with 60% available this year.

The Patent Box was developed by the Office for Life Sciences under the previous government as a way to strengthen the UK’s ‘knowledge economy’.

HM Treasury estimates that it will save UK businesses £1bn in tax, differentially rewarding innovation and encouraging investment in the UK’s R&D base.

Leading UK pharma company GSK, which was involved in the Treasury working group that advised on the policy, has since invested in a new £350m manufacturing facility in Cumbria.

Paul Belsman, National Head of Tax at accountancy consultant RSM Tenon, commented: “Combined with the research and developments tax credits system, this should provide strong fiscal incentive for companies and arguably attract inbound investment into the UK.”

The BioIndustry Association, which represents the UK biotechnology industry, has welcomed the opportunities within the Patent Box.

Steve Bates, CEO of the BIA, said the Patent Box would combine with “the improvements to R&D tax credits and reduction in corporation tax, the Government’s Strategy for UK Life Sciences and programmes such as the Biomedical Catalyst” to establish the UK as “a globally competitive location for life science companies”.

A conference hosted by the Association of the British Pharmaceutical Industry (ABPI) has called for urgent action to strengthen drug R&D in the UK.

A gathering of life science industry representatives, academic researchers and policy makers discussed the progress, after one year, of the Government’s Strategy for UK Life Sciences.

One specific demand raised by the ABPI and the Bioindustry Association (BIA) was an Early Access to Medicines scheme for the NHS.

More broadly, the two associations called for stronger partnerships between industry, healthcare and the academic sector, shifting from ‘transactional’ relationships to a shared understanding of the role of R&D.

Going beyond its former demands for improved uptake of new drugs, the ABPI emphasised the symbiosis of the NHS with UK-based medical research.

Speakers at the conference included Health Minister Lord Howe and Chief Medical Officer Professor Dame Sally Davies.

Stephen Whitehead (pictured), ABPI Chief Executive, said: “Our challenge is to create a world-class environment for life sciences research. This will only be possible by working in partnership with all healthcare stakeholders in the R&D ecosystem and embedding a culture in the NHS which supports medical research.

“There is a direct link between uptake and access to innovative medicines in the UK and industrial investment in research and development. If global pharmaceutical companies cannot compare the effectiveness of their new medicine against the best product on the market because it is not available in the UK, they will simply move these studies to other countries.”

According to Steve Bates, BIA Chief Executive Officer, “More needs to be done to enable companies to grow in the UK. That why the BIA is calling for the introduction of a funded and workable Early Access Scheme.”

The Medical Research Council (MRC) has committed £7m funding to support 15 academic drug research projects using compounds from AstraZeneca.

The collaborations are expected to improve our knowledge of ways to treat major diseases such as dementia and cancer, as well as rare diseases such as motor neurone disease.

AstraZeneca made 22 pharmaceutical compounds, which it had validated as suitable for further research, available to medical researchers in December 2011.

Eight of the research projects will involve clinical trials of new drug candidates, while the other seven will involve laboratory and animal models.

“This landmark collaboration will see our leading scientists working with industry to find new insights into disease,” added David Willetts, Minister for Universities and Science. “It will speed up the search for innovative treatments and keep the UK at the forefront of biomedical research, which will in turn drive growth and deliver benefits for patients.”

The MRC received 23 full funding proposals, which it assessed independently of AstraZeneca. The recipients include research teams at universities in Manchester, Leeds, Sheffield, London, Glasgow, Birmingham, Edinburgh and Bristol.

The announcement was welcomed by the BioIndustry Association (BIA), whose Chief Executive Steve Bates said: “Today’s funding announcement signals the beginning of an exciting coming together of academia, industry and government to create new pathways to develop novel therapies for a range of serious conditions.

“The prospect of de-risking private investment in this way and supporting the development of these products for patients through innovative ways of working shows how the biopharmaceutical sector is responding creatively to the challenge of getting more treatments to market.”

A new £50m investment fund aims to help UK companies bridge the translation gap between cancer drug discovery and early-stage product development.

The CRT Pioneer Fund, with equal contributions from Cancer Research Technology (CRT) and the European Investment Fund (EIF), aims to take cancer drug candidates from discovery through to phase II clinical trials.

The new fund was welcomed by the Bioindustry Association (BIA), the trade association for the UK bioscience sector, who said it came at “a particularly good time for life sciences in the UK”.

The fund’s starting capital of £25m will be doubled by the founders and/or potentially other investors.

CRT is the commercial arm of Cancer Research UK, whose widespread research networks will provide projects for the investment of at least two-thirds of the new fund, with the rest coming from other academic groups or industry.

David Willetts (pictured), Minister for Universities and Science, said: “In our Strategy for UK Life Sciences we set out ambitious plans to build on the success of the industry by fostering collaboration between our excellent research base and businesses. This initiative from Cancer Research Technology and the European Investment Fund will complement this work extremely well.”

“The creation of this landmark fund addresses the problem of funding the development gap which is restraining cancer drug development in the UK,” said Dr Keith Blundy, CEO of CRT.

“This important investment means we can take forward the most innovative approaches using our in-house drug discovery and development capabilities, to progress promising treatments from the lab all the way to clinical trials, translating our world-class scientific research into new treatments more quickly.”

Richard Pelly, EIF Chief Executive, noted: “This investment targets a stage of the investment spectrum often neglected by the market. The CRT Pioneer Fund will primarily follow a licensing model rather than creating companies.”

Glyn Edwards, BIA Interim Chief Executive, commented: “The launch of the CRT Pioneer Fund will provide another financing option for companies and academics in the UK looking to translate their cancer drug discoveries into clinical development.

“The fund arrives at a particularly good time for life sciences in the UK, following the launch last week by the Wellcome Trust of a £200 million venture fund and GlaxoSmithKline’s decision to invest £500 million in biopharmaceutical manufacturing in the UK.”

The BioIndustry Association (BIA) and its counterpart in Canada BIOTECanada have signed a Memorandum of Understanding.

The two have agreed to work together to increase business opportunities for their member companies.

Peter Brenders, President and CEO of BIOTECanada, says he hopescompanies “prosper from the arrangement in years to come”.

The alliance aims to promote cooperation in bioscience in areas of mutual interest; increase the exchange of views in supporting the formulation and application of bioscience policy by Government; and facilitate interaction between officials, scientists and technologists.

Nigel Gaymond, BIA Chief Executive, commented on the agreement: “The BIA is delighted to have established this partnership with BIOTECanada and we look forward to working together with them in future.

“This collaboration recognises the significance of the Canadian biotech sector and its potential for partnerships between our members and BIOTECanada’s members.”

The Association of the British Pharmaceutical Industry (ABPI) and the BioIndustry Association (BIA) have revealed plans to move into joint offices in London later this month.

The organisations feel the move demonstrates a more “collaborative era” for life sciences in the UK, though they will still remain independent trade bodies.

The ABPI said the new arrangement builds on its agenda for change set out a year ago by strengthening its capacity to engage with and on behalf of key partners.

Dr Richard Barker, Director General of the ABPI (pictured), added: “Since the establishment of the Office of Life Sciences, our two organisations have been working more collaboratively, and we are already seeing the benefits. Feedback from Government and other key stakeholders following the creation of LifeSciencesUK was very positive.

“Our organisations have been able to operate more strategically, and more effectively, by representing the life sciences sector with one voice, alongside the ABHI and BIVDA. This move strengthens a joint determination that the UK remain a great place to invest and do business in life sciences.”

According to the BIA, the move represents an opportunity to enhance the UK’s competitive position in life sciences, expand collaborative relationships for its members and extend the UK bioscience community.

Nigel Gaymond, Chief Executive of the BIA, commented: “Establishing a central venue where those with an interest in life sciences can access the combined expertise of the BIA and ABPI will enable us to highlight more effectively all that the UK has to offer.”

The BioIndustry Association (BIA) and the Ethical Medicines Industry Group (EMIG) are to co-host a conference to explore the Government’s current health reforms.

‘The Future of UK Healthcare – how to achieve success in the new reality’ will analyse issues such as the impact the reforms will have on the UK life science industry and value-based pricing.

Leslie Galloway, Chairman of EMIG, says the conference will enable delegates to “develop a sharper focus on the outcomes of the major changes” taking place.

Confirmed speakers at the event include Lord Earl Howe, who will present the keynote address, Chris Brinsmead, Life Sciences Business Advisor, and Sir Andrew Dillon, NICE Chief Executive.

Nigel Gaymond, Chief Executive of the BIA (pictured), says the health reforms will have a “significant impact” for both bodies and the conference will “explore the key developments in the health environment”.

“This event is intended to foster new business development opportunities by bringing bioscience and pharma companies together for senior level networking,” he said.

“It further reflects the BIA’s commitment to work in partnership with other organisations to foster a spirit of greater collaboration across the life sciences sector.”

The conference will be held on Tuesday 24^th May at the Royal Society, 6-9 Carlton House Terrace, London.

The BioIndustry Association (BIA) has backed the measures announced in the Budget and Growth Review in support of the life sciences sector.

Chancellor George Osborne announced a number of tax schemes and other incentives which the Government hopes will stimulate the sector and investment in life science companies.

Nigel Gaymond, BIA Chief Executive (pictured), says the budget was “extremely significant” and the Association “looks forward to working with the Government” on developing the initiatives.

Measures announced include the extension of the R&D tax credit scheme, the creation of a Technology and Innovation Centre, three new research campuses and the confirmation of the patent box legislation by the autumn.

The BIA says that the Government’s “unequivocal commitment” to maintaining the UK’s position as a world-leader in life sciences will secure future investment from oversees.

The extension of the R&D tax credits for small businesses will rise from 175% to 200% next month, and up to 225% in 2012. Proposals have also been introduced to remove any link between the claimable amount of PAYE and NI payments to enable a high number of SMEs to obtain full value from the regime.

The new cell therapy and advanced therapeutics Technology and Innovation Centre and the capital investment in new science facilities were both backed by the BIA. It says the Technology and Innovation Centre will give a “much needed boost” to the “outstanding research” carried out in the UK and the creation of the £80 million national research campuses at Babraham, Daresbury and Norwich “endorses the excellence of UK science”.

The patent box, which will provide a reduced rate of 10% corporation tax from profits derived from patents, will have the “knock-on effect” of further stimulating activity in the bioscience sector, the Association says.

“R&D tax credits are the lifeblood of the R&D intensive bioscience sector, and BIA has maintained a sustained campaign on this issue for many years,” said Nigel Gaymond.

“The extension of this relief will be enthusiastically welcomed by companies in our sector. In addition, many of the other measures outlined today demonstrate this Government’s commitment to putting life sciences at the heart of the UK’s recovery.”

The BioIndustry Association (BIA) has submitted plans for a ‘Budget for the Life Sciences’ to the Chancellor of the Exchequer, George Osborne.

The Association wants the Chancellor to prioritise maintaining and building on successful tax incentives to unlock growth in the sector.

Nigel Gaymond, Chief Executive, BIA (pictured), says the sector has the potential to be an “important asset” to the UK economy and that tax breaks would provide a “boost”.

It is hoped the proposals will generate funding for innovative businesses that can incentivise R&D into new drugs and treatments.

Under the plans the BIA wants to enhance the impact of R&D tax credits, simplify administration and has called for creative thinking on funding for new or early life science enterprises.

It has also urged the Government to establish a similar funding mechanism to the French Fonds Commun de Placements dans L’Innovation (FCPI) which has helped to raise more than €5.5 billion of investment and lead to direct benefits for 916 companies employing over 54,000 people.

“Last year the Government took the decision to protect the science and health research budgets, a move we fully supported,” said Nigel Gaymond. “In order to maximise this investment, complementary measures must now be introduced which will help industry to translate this research into new medicines and treatments.

“The Chancellor will be hoping to put Britain on a path to sustainable economic recovery with this Budget. Support for those areas where we can truly lead the world such as the life sciences should be firmly at the centre of his plans.”

A further “raft of measures” have also been proposed to encourage further growth in the sector. Including extending the benefits of the Enterprise Investment Scheme (EIS) and the Venture Capital Trusts (VCTs), changing existing Consortium Relief rules to encourage large pharmaceutical companies to invest in smaller biotech businesses, and ensuring that the patent box tax relief on intellectual property is successfully implemented in 2013.