14/10/2025
Last month, WIPO published the 2025 edition of their Global Innovation Index (GII). This report compares the innovation performance of global economies based on indicators such as patent filings, R&D spend, venture capital (VC) deals and high-tech exports.
United Kingdom remains most innovative of major European economies
The UK ranked 6th globally, seemingly in contradiction to the general pessimism surrounding the economic state of the country in recent years. The UK outranks major European neighbours France, Germany, Italy and Spain, sitting behind the leaders Switzerland, Sweden, USA, South Korea and Singapore.
Amongst high-income countries, the UK is identified as “performing above expectation” for its level of development. The UK’s outstanding performance is based in large part on its scientific research – the UK produces the most influential scientific research in the world (as measured by the H-index of publications, which takes into account the number of publications and the number of times those publications are cited) and has numerous universities ranking highly in global rankings.
The UK is ranked top 15 for international (PCT) patent applications per $ of GDP and contributes a significant share of European PCT filings. This shows that the UK remains a major contributor of new inventions, and UK innovators seek protection for their inventions around the world.
Nevertheless, the growth rate of patent applications is slower in the UK and in Europe generally than in East Asian countries such as China and South Korea. However, the UK generates high quality inventions, which result in wide-reaching patent families (ranked 18th), indicating that UK industry believes in the international commercial potential of its inventions. Furthermore, the UK is a top 10 country for patent cooperation and co-ownership, showing strong international R&D collaboration.
The United Kingdom is home to four “innovation clusters”
Of particular interest is the report’s focus on innovation clusters. These are cities or regions identified as generating significant innovation, measured by the location of authors of patent applications and scientific articles, and firms receiving VC investment.
The UK has four such innovation clusters in the global top 100: London, Cambridge, Oxford, and Manchester. Manchester has entered the ranking for the first time. London’s standout strength is VC deals (4.4% of the global share), whilst the Cambridge, Oxford, and Manchester perform more evenly across the metrics.
Measured by innovation intensity, that is, normalizing innovation performance per capita, Cambridge and Oxford perform extremely well: Cambridge ranks 2nd and Oxford ranks 6th globally. They are powered by their renowned universities, leading the way in scientific publications per capita. Including London, the UK houses three of the top 25 innovation clusters by intensity.
Oxford and Cambridge are a focus for the UK government in the coming years, as it plans for the Oxford-Cambridge corridor region to be an “economic engine for the UK”, with the region predicted to add £78bn to the UK economy by 2035. This plan is being supported by increased investment in rail links, R&D spending and the planned Culham AI Growth Zone.
Take home points
The findings of the report show that the UK remains a global leader in innovation. Life Sciences & Biotech and AI & data are particularly strong industries, supported by activity in the UK’s innovation clusters.
Although UK innovation is strong, it may be better converted into economic activity and growth through greater VC and R&D investment. The rest of the UK is far behind London in VC deals and the UK’s R&D expenditure (as a percentage of GDP) is less than peers such as South Korea, USA, Germany and Japan.
A more strategic approach to Intellectual Property (IP) could help translate the UK’s innovation strengths into stronger economic outcomes. Encouraging businesses to secure and commercialise their intangible assets – through patents, design rights, or trade secrets – alongside increased collaboration and regulatory support, may create a more conducive environment for investment and growth.
To explore how a well-planned IP strategy can help your business realise more value from innovation, feel free to get in touch.
This article is for general information only. Its content is not a statement of the law on any subject and does not constitute advice. Please contact Reddie & Grose LLP for advice before taking any action in reliance on it.
