By Dr Chris Worrall – Head of Innovation
In my previous blog, I shared how the Department of Research and Innovation (DRI) engaged with four of the UK’s Modern Industrial Strategy sector plans: Defence, Advanced Manufacturing, Life Sciences, and Digital & Technologies. Today, I’m delighted to announce that we have completed our review of all eight plans, adding Creative Industries, Professional & Business Services, Financial Services, and Clean Energy Industries to the list.
Together, these plans form the backbone of the UK’s economic and technological ambitions for the next decade. For the ºÚÁÏÕýÄÜÁ¿, understanding and aligning with these priorities is essential - not only to remain competitive but to lead in research, innovation, and skills development that respond to national needs.
Why These Plans Matter
The message from UKRI and Innovate UK remains clear: universities must demonstrate alignment with sector priorities to access funding, shape policy, and deliver impact. These plans are not just policy documents - they are roadmaps for growth, resilience, and innovation.
Our Findings from the Final Four Plans
Creative Industries
The Creative Industries plan sets an ambitious target: increase annual investment from £17 billion to £31 billion by 2035. It highlights the rise of Createch, blending creativity with technologies like AI, XR, with specialist skills development, projected to generate £18 billion GVA and 160,000 jobs over the next decade.
Key opportunities for universities include:
- R&D and Innovation: £100 million UKRI investment for creative clusters and new CoSTAR labs.
- Skills Development: A refreshed £9 million creative careers service and new National Centre for Arts and Music Education.
- Global Reach: Expanded trade missions and export support for UK creative content. Frontier sub-sectors—film and TV, video games, music, and advertising—will see dedicated growth packages worth over £130 million.
Professional & Business Services (PBS)
PBS underpins 80% of the UK economy and is now at the heart of industrial policy. The plan focuses on AI adoption, digital transformation, and sustainability consulting.
Highlights include:
- Technology Adoption: A new Made Smarter-style programme for PBS SMEs and £150 million for innovation initiatives.
- Skills: Expansion of AI Skills Hub and short courses in digital and AI funded through the Growth and Skills Levy. Frontier industries—accountancy, legal services, and management consultancy—are expected to lead in areas like ESG reporting, lawtech, and AI assurance technology, which could grow from £1 billion to £6.5 billion GVA by 2035.
Financial Services
The UK remains one of only two truly global financial centres, contributing 9% of economic output and over half of the UK’s services export surplus. The plan sets out reforms to make regulation simpler, faster, and growth-focused, while embracing innovation and sustainable finance.
Key priorities:
- Fintech Leadership: New Scale-Up Unit and £12 million investment in data-sharing infrastructure.
- Skills: £1.2 billion annual investment in education and training by 2028–29, plus AI skills initiatives.
- Sustainable Finance: Maintaining global leadership in green finance and transition planning. Clusters across London, Edinburgh, and regional hubs will benefit from £15.6 billion in transport connectivity and £187 million TechFirst programme to accelerate innovation.
Clean Energy Industries
This plan is central to the UK’s Clean Energy Superpower Mission, targeting a doubling of investment to over £30 billion annually by 2035. Frontier technologies include wind (onshore, offshore, floating), nuclear fission and fusion, hydrogen, carbon capture, and heat pumps.
Key interventions:
- Catalytic Investment: £8.3 billion via Great British Energy and £27.8 billion through the National Wealth Fund.
- Skills: Launch of Technical Excellence Colleges and £100 million for engineering skills.
- Infrastructure: Reforms to planning and grid capacity, plus £1 billion Clean Energy Supply Chain Fund. Universities are expected to play a leading role in R&D, workforce transition, and innovation partnerships, particularly in offshore wind and hydrogen.
What This Means for Us
The completion of the UK Industrial Strategy sector plans signals a decade of opportunity for universities to drive innovation, skills, and impact. At the ºÚÁÏÕýÄÜÁ¿, we are uniquely positioned to respond to these priorities:
Creative Industries
Our expertise in Createch, immersive technologies, and digital media aligns perfectly with the sector’s ambition to blend creativity with AI, XR, and domains such as health-tech and specialist skills training. Through our Centre for Creative and Immersive Extended Reality (CCIXR) and strong links with film, gaming, and music industries, we can lead R&D for creative clusters and CoSTAR labs, while shaping future talent pipelines.
Professional & Business Services
With strengths in AI adoption, lawtech, and ESG consulting, our research in digital transformation and sustainability positions us as a key partner for PBS innovation. Our business school and legal research hubs are ready to deliver advanced skills training and short courses to meet the growing demand for AI and digital expertise.
Financial Services
Portsmouth’s research in FinTech, blockchain, and sustainable finance supports the UK’s ambition to remain a global financial leader. Our collaborations with industry and focus on ethical AI and green finance ensure we contribute to regulatory innovation and transition planning.
Clean Energy Industries
We are at the forefront of renewable energy research, including offshore wind, hydrogen, and carbon capture. Our engineering teams and partnerships with regional clusters enable us to drive innovation in clean energy technologies and workforce transition, supporting the UK’s Clean Energy Superpower Mission.
In short:
We will leverage our research excellence, industry partnerships, and skills development programmes to shape policy, secure funding, and deliver impact across these strategic sectors - cementing Portsmouth’s role as a leader in the UK’s innovation agenda.