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Unlocking the potential of the life sciences sector

Posted: 18th July 2025

The publication of the Government’s Life Sciences Sector Plan (Wed 16 July), developed alongside the 10 Year Health Plan, once again reinforces the critical role of health innovation in our society. The life sciences sector is already a major contributor to the UK economy and a critical factor in shaping an NHS that is innovative, inclusive and sustainable.

As highlighted in the ‘Defining the Size of the Health Innovation Prize’ report published by Health Innovation Network, health innovation could add £278bn to the UK economy every year by improving health outcomes, boosting workforce productivity, and relieving pressure on the NHS. Focusing on the life sciences sector, the report projects that it could generate £22bn and attract foreign direct investment creating 159,000 additional jobs by 2035.

The Yorkshire and Humber region is already well placed to lead the way. During a recent visit to Leeds Wes Streeting, the Secretary of State for Health and Social Care, described the city as a “healthcare innovation powerhouse”. Yorkshire is home to some of the most advanced companies in this sector. These innovators are improving patient outcomes, transforming care pathways, delivering long-term cost savings as well as creating new jobs.

West Yorkshire alone is home to more than 600 HealthTech businesses and over 22% of the UK’s digital health jobs are based in the region. The sector contributes £58 billion a year to the UK economy. One such business is Paxman, a Huddersfield-based company that is now a global leader in scalp cooling and chemotherapy, exporting its products to overseas markets like the USA which is renowned to be a challenging market to enter.

Responding to the Life Sciences Sector Plan, our CEO Richard Stubbs said:

“It is right that place-based innovation capacity and capabilities have been identified in the Life Science Sector Plan as a key enabler for the sector.

“We’re proud of the impact that we deliver with our partners in the NHS, academia and industry to improve patient outcomes, release capacity in the NHS to cut waiting lists and drive economic growth. It’s encouraging to see our work to foster partnerships between innovators and the health system recognised in this Plan.

“By working locally with our vibrant life sciences sector, our health innovators, and our NHS staff, we will deliver real change on the ground that has a national impact, and supports the bold ambitions set out in the Life Sciences Sector Plan.

“There are many reasons to be optimistic about the future of this sector. Our region is already home to world class academic and commercial innovation hubs that bring together researchers, healthcare systems and the private sector.”

At Health Innovation Yorkshire & Humber, we are committed to supporting the adoption of innovations that address the health needs of our diverse communities while enhancing efficiency and productivity in the NHS. We bring together the health and care system, innovators, researchers, local government, patients and the public to create strong partnerships that ensure the impact and benefits of innovation are realised for our communities and beyond our regional boundaries.

We offer bespoke support to hundreds of companies every year. In the last 12 months we worked with 545 SMEs providing over 7,000 hours of expert advice and guidance including:

  • Connecting innovators with the right stakeholders to facilitate market access and support the development of adoption strategies.
  • Helping companies to develop their funding applications – in 2024-25, we supported 55 applications, ten of which were successful, resulting in £5.1m investment being brought into the region.
  • Providing a real-world evaluation service to help innovators assess the effectiveness of their solutions and build the evidence-base necessary to access the NHS market.

Our support is not just limited to the boundaries of our region. We enable SMEs to thrive in healthcare markets at home and abroad through programmes like our health accelerator Propel@YH, which provides structured support including subject-specific masterclasses delivered by subject matter expert partners and networking opportunities.

One Yorkshire-based health innovator company that has benefitted from this programme is DigiBete, a multi-award-winning digital platform changing the lives of young people with Type 1 diabetes by helping families self-manage their children’s condition. The platform reduces anxiety, improves quality of life, and empowers parents and carers. DigiBete was part of our first Propel@YH cohort when the accelerator launched in 2019. They began their journey in Leeds and have now successfully rolled their innovation out across the country as well as into international markets. We have provided support and guidance to them every step of the way.

Propel@YH has now been running for over six years and is a powerful example of how cross-sector partnerships and locally-led interventions can drive economic growth. It supports system priorities by helping to implement and scale effective innovations that cut waiting times, improve health outcomes and reduce regional inequalities in access to care.

Since its launch, Propel@YH has supported 125 innovators, contributing to the creation of 143 jobs, bringing £940k directly into the local economy, and helping the innovators to raise a total of £37.4m in funding.

Our spin-off Propel@YH international Boot Camp brings the very best health innovations from around the world into our region so that our healthcare systems and patients can benefit from them first. So far the Boot Camp has seen us working with 60 overseas innovators. One example of its success is SingFit, an award-winning therapeutic music app for cognitive health and wellness based in Los Angeles. They joined our first Propel@YH Boot Camp in 2022. Since then, the company has become fully registered in the UK and is currently running a pilot project with the Royal College of Occupational Therapists.

As a health innovation network, our strength lies in the constructive partnerships we have built over the last 10 years, bringing diverse stakeholders together to share best practice, identify and co-produce effective solutions and overcome barriers to innovation adoption. We will continue use our voice, networks and platforms to influence policy, leadership and decision-making to improve health and stimulate growth in the life sciences sector.

By embracing innovation, we can build a healthier, more resilient population, ease pressure on health and care services, and drive economic growth across the UK.

Read the full Life Science Sector Plan report

Find out more about our work in our Impact Report