Leading scientists and entrepreneurs back call to reinvest £4bn 4G auction windfall in science and technology

29/10/12

Leading figures from the world of science and technology are calling on the government to reinvest the proceeds of the UK’s 4G spectrum auction into the new technologies vital to the UK’s future.

Physicist, Brian Cox; former Astronomer Royal and President of the Royal Society, Lord Rees; former Chief Secretary to the Treasury and Science Minister, Lord Waldegrave; British doctor and science writer, Ben Goldacre; and Nobel laureate Andre Geim are among a number of leading figures who have joined forces in support of the '4Growth' campaign led by the Campaign for Science and Engineering (CaSE) and Nesta, the UK's innovation foundation.

The '4Growth' campaign calls for the £4bn expected to be raised by the UK's 4G auction to be reinvested in science, technology and innovation to drive future economic growth.

The campaign sets out a number of proposals for investment to generate a renaissance in UK science and technology.

The campaign says that the UK has a great tradition of supporting Britain's innovators that has to be re-invigorated if the UK is to compete in the future world economy.

Geoff Mulgan, Nesta Chief Executive, said:

"The 4G windfall is the result of past investments in science and technology, and although there are many worthy current claims for funding, the case for reinvesting the proceeds into new technologies, science and innovation is compelling.

'Whenever we use a smart phone, we're standing on the shoulders of generations of innovators, from Marconi and Clerk Maxwell to Tim Berners Lee and Joe McGeehan who benefitted from funding, much of it public, that was animated by commitment to the future.  How the 4G proceeds are used will test whether the UK's horizons have shrunk, or whether we can be as ambitious today in our commitment to the future.'

Imran Khan, director of the Campaign for Science and Engineering, said:

"The perfect opportunity to help rebalance the economy has fallen into the government's lap. By reinvesting this money which came from science and technology back into innovation, the UK could put itself firmly on the road to a high-tech future."

"Innovative economies - like Germany, or the US - owe their successes to a proactive government working closely with industry. That's how technologies like the internet and MP3s were born. We need to emulate that approach here, and the 4G auction gives us the opportunity to do it."

The '4Growth' campaign identifies exactly how this money could be used to revolutionise the UK's science and innovation landscape, transforming us into a high-tech nation and delivering a stronger, more diverse economy:

• People & Skills, £750million - A ten-year fund to invest in education and research that will create more scientists, engineers, researchers and designers and, in turn, will generate around £90 million a year in real terms, for example, by funding more early career researchers, facilitate the movement of researchers from industry to academia and bring the UK's best researchers here to the UK.
• Infrastructure, £1.5billion - The UK is one of the few countries that has the expertise and ability to build world-class, cutting edge science and technology infrastructure. We should make the most of that advantage by building and exploiting knowledge infrastructure fit for the 21st century, for example, through technology demonstrators, new research facilities and facilities for makers.
• Demand for emerging technologies, £1.25 billion - We need to challenge and incentivise our research and innovation base to meet the goals that are important to us; putting the UK at the heart of developing tomorrow's technologies by funding new challenge prizes (like the Ansari 'X' Prize), helping small businesses come up with innovative solutions for government contracts and establishing a new Vision Fund for technological research.
• Finance, £500million -since 2008, investment in innovation by businesses has fallen sharply, creating a 'valley of death' between research and commercialisation. Investment in innovation can be stimulated through the extension of Smart Awards and the backing of early -stage tech businesses through co-investment funds.

Broad industry, academia, business and entrepreneur support is backed by cross-party acknowledgement of the need to stimulate economic growth.  In a recent Nesta survey, conducted by YouGov, 40% of business leaders  thought the 4G auction proceeds should be spent on 'Investment in science, technology and education' over paying back part of the national debt or  cutting taxes.'*

Sir James Dyson, recently wrote in The Sunday Times, "Sixty years ago we were at the forefront of invention, but it took a war to spur us on. Now the young technology companies could transform our economy. I'm not thinking of the next Facebook but tangible technologies that we can export, such as low-carbon power generation, nanotechnology and biotechnology. 

"Is it unreasonable to suggest this money be spent on anything other than paying down the £163 billion deficit? No. If the coalition is serious about economic recovery, it should be bold and invest it in something that will really have an impact - let the money multiply."**

Notes to editors

For further information or to arrange an interview with Geoff Mulgan, chief executive of Nesta, or Imran Khan, director of CaSE, please contact Suzi Browne on 020 7438 2606/ Suzi.browne@nesta.org.uk or Natalie Hodgson on 020 7438 2614/ Natalie.hodgson@nesta.org.uk 

For out of hours enquiries please call: Catherine Bithell on 07445 598854

*All figures, unless otherwise stated, are from YouGov Plc.  Total sample size was 783, all board level manager/ director level and above. Fieldwork was undertaken between 31st August - 6th September 2012.  The survey was carried out online.

**James Dyson, 'Just like that: a £4 billion windfall to revive Britain', The Sunday Times: http://www.thesundaytimes.co.uk/sto/comment/regulars/thinktank/article1041876.ece

The 4G auction is expected to take place in January 2013 and industry experts predict this could raise up to £4 billion. The auction will sell chunks of radio spectrum to support future 4G mobile services, which will allow users to download data such as music and videos at much faster speeds.

Further information on the campaign, a full list of endorsers and the petition can be found on the 4Growth website from Monday at http://its4growth.co.uk/

About Nesta: www.nesta.org.uk 

Nesta is the UK's innovation foundation. We help people and organisations bring great ideas to life. We do this by providing investments and grants and mobilising research, networks and skills. We are an independent charity and our work is enabled by an endowment from the National Lottery.

Nesta Operating Company is a registered charity in England and Wales with a company number 7706036 and charity number 1144091. Registered as a charity in Scotland number SC042833. Registered office: 1 Plough Place, London, EC4A 1DE

About the Campaign for Science and Engineering (CaSE): www.sciencecampaign.org.uk/ The Campaign for Science and Engineering is the UK's leading independent advocate for the science and engineering sectors.

Additional statistics:

The UK is home to a fifth of the world's top 20 universities and some of the world's most innovative and exciting companies.

Our expertise is recognised world-wide, with more foreign-funded R&D taking place in the UK than in other country.

With less than one per cent of the world's population, the UK produces 14 per cent of the world's highest impact science and pound for pound we have the most efficient researchers in the G8.