The biggest changes in the UK

Table 11 lists the 20 companies in the UK1000 that have increased their investment in R&D the most over the previous year. Notably, fifteen of these companies (including the top five) are UK-owned. The biggest increase over last year is that of GlaxoSmithKline, which increased its R&D investment by 14.2% (an increase of £462 million) and continues to be the largest UK corporate investor in R&D. Other significant increases in R&D investment included:

• Barclays, HSBC and Royal Bank of Scotland, which increased their combined investment by over £100 million, reflecting the strong growth in R&D in the banking sector in 2008;
• Rio Tinto, which increased its spend by 345% (an increase of £166 million), making it one of the fastest growing companies by R&D in the UK1000; and
• Airbus, Bombardier, BAE Systems and Rolls-Royce, which reflected the strong growth across the aerospace and defence sector.

Table 11: Biggest increases in R&D expenditure in the UK1000

In contrast, Table 12 lists the 20 firms in the UK with the largest reduction in their R&D over the year. BT, which in last year’s Scoreboard recorded one of the largest increases, saw the biggest drop in 2008. Its investment in R&D fell by £133 million, although BT remained the third largest investor in the UK. Mobile telecommunications companies Telefonica Europe and T-Mobile also reduced their R&D investment significantly. Overall, more foreign-owned firms reduced their investment compared with UK firms.

Table 12: Biggest decreases in R&D expenditure in the UK1000