AI Life Science Hub May Boost UK Economy by £3.5bn
The innovation district at the heart of Euston and King’s Cross, is already home to world-leading UK life science and technology companies such as Synthesia, Autolus and Google DeepMind.
But new analysis from UCL and Public First shows that the thriving area anchored by UCL, The Francis Crick Institute, and UCLH could become the UK’s answer to Kendall Square, the US’s leading life sciences cluster around MIT in Boston that has transformed the Massachusetts economy.
The report shows the economic benefits can ripple across the nation with measurable productivity gains in other UK clusters due to transport links. Manchester, Liverpool and South Yorkshire see particularly strong gains.
The Government has put innovation at the heart of its Industrial Strategy and Life Sciences Sector Plan, and Secretary of State for Science, Innovation and Technology, Liz Kendall said recently that “there is no route to stronger growth in this country… without science, technology and innovation leading front and centre”.
Professor Alan Thompson, Pro Provost (London) at UCL, describes the district as a once-in-a-generation opportunity to accelerate growth deliberately rather than leaving it to chance.
He argues that, although the fundamental ingredients for world-leading cluster growth are in place, realising the district’s full potential requires coordinated action on planning, transport, and investment.
UCL asked Public First to assess the scale of the opportunity.
The 1.5 km² area already generates over £8bn in annual GVA and employs 12,000 life science workers. Drawing on comparative analysis from world-leading innovation clusters in Barcelona, Tokyo and Boston, the research shows:
The findings build on recent positive data on London’s life science innovation economy.
Professor Geraint Rees, Vice Provost (Research, Innovation and Global Engagement) at UCL, said: “Modern life sciences require mathematicians, AI specialists, engineers, biologists, and clinicians working together; an environment where business rubs shoulders with science.
“This is an established ecosystem of worldclass organisations including UCL, UCLH and The Francis Crick Institute and world-leading UK life science and technology companies – from Synthesia to Autolus to Google DeepMind.
“This is a booming innovation district driven by purpose and impact to solve the world’s biggest challenges and transform lives and powered by high-speed rail, unrivalled access to capital and seamless international connectivity.”
Professor Alan Thompson, Pro Provost (London) at UCL, added: “The Government’s growth mission depends on maximising the economic potential of the UK’s strongest innovation assets.
“International evidence shows that world-leading innovation districts emerge organically; yet to thrive, they require coordinated decisions on planning density, transport connectivity, anchor institutions, and investment frameworks.
“We have a once-in-a generation opportunity to accelerate this district. With the right interventions, this could become a genuine rival to Kendall Square, with huge benefit to the economy in London and beyond.”
Councillor Richard Olszewski, Leader of Camden Council said: “This research shows the huge growth potential from AI, life sciences and technology that will benefit Camden and all our residents, as well as the wider London and UK economy.
“We are committed to closely working with UCL and key partners in the innovation district to support it to thrive – working to coordinate investment, planning and ensuring that the Euston regeneration delivers an outstanding location in the borough for innovation.”
The district’s track record
The innovation district has already demonstrated its capacity to support breakthrough companies at scale:
Autolus Therapeutics recently gained NHS approval for its cancer immunotherapy treatment, which emerged from university research. The company has raised $1.1 billion, employs 450 people, and operates a state-of-the-art manufacturing facility in Stevenage. Its clinical trials drew directly on NHS patient data and hospital infrastructure.
Synthesia moved into new headquarters at Regent’s Place in July 2024, explicitly citing proximity to UCL where co-founder Lourdes Agapito is a Professor of 3D Vision in Computer Science. Now valued at $2.1 billion with over $100 million in revenue, this AI-native company exemplifies the district’s potential.
Isomorphic Labs, spun out from DeepMind in 2021, uses AI for drug discovery by combining machine learning researchers with medicinal chemists and structural biologists – a model enabled by the district’s concentration of AI and life sciences expertise.
https://www.ucl.ac.uk/news/2026/jan/ai-powered-life-science-district-could-add-ps35bn-uk-economy-modelled-bostons-kendall
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