House of Commons - Trade and Industry - Appendices to the Minutes of Evidence

Select Committee on Trade and Industry Appendices to the Minutes of Evidence

APPENDIX 16

Memorandum by ERBI

ERBI'S BACKGROUND

ERBI is an industry led initiative which was formally started in mid 1997 after discussions with a number of individuals from the local biotech community and local and national government officials. Due to the success of the activities ERBI became a not for profit company limited by guarantee in April 2000. The company is officially administered by a small group of directors by the direction of the company is overseen by a steering group which is representative of the biotech cluster and ERBI sponsors. This group consists of:

— local biotech company directors, eg Acambis, CAT;

— international food and pharmaceutical companies, eg GSK, Unilever;

— research institutes, eg Babraham Institute;

— professional service providers to the industry, eg Reddie and Grose; and

— and other organisations such as Invest East of England.

ERBI'S AIMS

To enhance the growth and development of biotechnology in Cambridge and the East of England, thereby asserting the region as a world-renowned centre of excellence. ERBI will achieve this through promoting local, national and international networking; supporting successful growth of new and emerging ventures; and ensuring the future infrastructure of the region allows seamless growth of the bioscience community.

ERBI'S ACTIVITIES

The main activity area assists with improved communications and networking. Other activity areas assist business training and support is provided through research and active publicity for the region. ERBI also keeps a watching brief on local planning issues and improved education and awareness concerning biotechnology. Specific activities include:

Improved communications and networking

— A quarterly newsletter for the bio-community.

— A series of six network meetings per year based on business issues.

— An annual conference for an international audience of over 400 delegates from 250 organisations to assist business partnering, collaborations and licensing.

— Assisting with partnering and technology transfer opportunities by enhancing existing events and activities.

— Special Interest Groups, such as purchasing and human resources, designed to give bottom line operating cost savings for participating companies whilst increasing the quality of service delivery.

— Working closely with other regional organisations, eg Invest East of England (IEE).

— Networking with other national and international biotech organisations, eg Oxford, Massachusetts, San Diego, Munich, Berlin, etc.

— Simple signposting, eg to existing grant and investor funding.

Supporting research

— A sourcebook and map of the bio-business community.

— A survey and report on bio-business trends in the region.

— A database of the bio-science research community available on the website.

— Visits to regional biotech businesses to listen to their needs and requirements.

Publicity

— A website, www.erbi.co.uk

— Presentations at conferences and attendance at exhibitions.

— Talks and presentations to companies and organisations outside the region.

— Articles on ERBI, the region and its companies in the public media.

THE ERBI BIOTECH LIFE SCIENCES SECTOR AT A GLANCE 2001-02

SIZE OF THE BIO-COMMUNITY

— >175 biotech companies.

— >250 specialist service providers with biotech expertise.

— >30 research institutes and universities.

— >20 multi-nationals in pharmaceuticals, agbio and food.

— Four leading hospitals involved in research and working with biotech . . . over 100 other organisations which take a strong interest in the bio-community.

OTHER USEFUL FACTS AND FIGURES FROM THE REGION

BIOTECH COMPANIES:

— Five quoted companies by the end of 1995—market capitalisation was £400 million.

— 300% growth in quoted companies by 2000—market capitalisation became £7 billion.

— 20% of Europe's publicly traded companies.

— Home to half of the UK's top 15 LSE quoted biotech companies.

— Home to 25% of Europe's top 50 publicly quoted companies.

— £1 billion of VC funds available from companies located within the region.

— In 2002 there was a base level of nearly 1,100,000 ft2 occupied by lab based biotechnology businesses in Cambridgeshire alone. (With 250,000 ft2 under construction).

— Growth over the past six years has varied between 7-24% per annum with an overall growth in that period of approx 115% (ie approx 13% per annum).

— 29 publicly quoted biotech companies, 17 UK, eight US, two Canadian and two European (excluding pharmaceutical companies).

EMPLOYMENT:

— 10,000 people employed directly related to biotechnology business (2000 estimate based on survey—asking numbers of people employed and percentage of business which is biotech and includes service providers).

— 25,000 people employed in life sciences.

— 20,000 people employed by ERBI membership.

RESEARCH:

— 13 Nobel Prize winners in medicine and chemistry since Crick and Watson (two in 2002).

— Over 3,500 students and 350 research groups within life sciences.

INTERNATIONAL COMPANIES:

— Amgen, Millennium, Genzyme, Gilead Sciences, Alkermes and Incyte (20% of the US top 30 biotech companies) all have operations.

— 20% of biotech companies have a foreign parent.

— GlaxoSmithKline, Merck Sharpe and Dohme and AstraZeneca all operate major research establishments in the region.

MARKET AREAS

Biotech companies:

— 30% develop (bio) pharmaceutical products.