In order to build a globally competitive economy, the North East is harnessing cutting-edge innovation to drive new economic growth.
Both the BERR and EU have identified the close relationship between research and development and economic activity as key to fuelling new growth and prosperity.
Such activity will play a major role in helping North East England reach its ambitious goal set out in the Regional Economic Strategy of creating between 18,000 and 22,000 new businesses, 70,000 new jobs, and to increase GVA per head to 90 per cent of the national average in the next ten years.
Regional development agency One NorthEast has identified three sectors of existing world class strength which will spearhead new growth in a knowledge-led economy. These ‘Three Pillars’ of life and healthcare sciences, new and renewable energy and process technologies, each have the potential to generate £2 billion worth of economic growth over the next ten to 15 years.
The ‘Three Pillars’ approach will ensure that the intellectual property rights to new ideas stemming from research and development in our universities will be harnessed for the North East’s benefit.
The Centre of Excellence in Life Sciences (CELS) based at the International Centre for Life in Newcastle. CELS was set up to invest in and expand the region’s capabilities in bioscience research and manufacturing. It supports world-leading research in stem cell technology by a team from Newcastle University.
CELS is involved in major initiatives that are being conducted in advanced areas such as systems biology, bio-sensors and human genetics.
The agency recently launched the £2.4 million Three Pillars Investment Fund. This pilot project, funded through One NorthEast’s Innovation, Industry and Science programme, will help innovative regional small and medium-sized companies continue to grow and thrive.
One NorthEast Chairman Margaret Fay said: “This fund will help bolster the development of companies in these growing and vitally important sectors.
“New and renewable energy alone has the potential to generate an estimated £2 billion worth of new growth for the regional economy through the development of a new generation of high-tech companies.”
In the sector of new and renewable energy, The Centre of Excellence for New and Renewable Energy (NaREC) in Blyth, Northumberland, is the home of the National Photovoltaic Centre, which is developing solar cell technologies for harnessing power from sunlight.
It is also involved in research into wave and tidal energy, as well as other renewable energies such as wind, biomass and hydrogen fuel cells.
NaREC’s investment programme is focused on developments that can be quickly converted into services and processes with clear, practical applications and benefits for industry. It is working closely with US energy giant Clipper Windpower, which is establishing a base in Northumberland, to help develop the next generation of offshore wind turbines.
Business and Enterprise Secretary John Hutton said: “Clipper Windpower’s decision to develop a new generation of offshore wind turbines in the North East is further evidence that the UK is fast becoming a magnet for renewable energy investment.
“A recent report from Ernst & Young showed that the UK has moved up from fifth to second in the world for attractiveness in new renewable investment. Behind this is the Government’s determination to bring down planning barriers and target support at marine and emerging renewables. By 2015 we expect to see a threefold increase in green energy feeding into the grid.”
The Centre for Process Innovation (CPI), based in the Tees Valley, is carrying out groundbreaking research into advanced materials and processes for future manufacturing uses. It is involved in developing bio-fuel and fuel cell applications that could potentially be exploited commercially in conjunction with NaREC. CPI is also home to the newly-opened National Industrial Biotechnology Facility (NIBF).
The £12 million National Industrial Biotechnology Facility based at the Centre for Process Innovation at Wilton will transform the way vital chemicals used to make millions of everyday products are manufactured.
Dr Chris Dowle, director of advanced processing at CPI said: “This facility will benefit companies by allowing them to embrace, test and subsequently apply sustainable manufacturing and energy production. Using industrial biotechnology for modern manufacturing will create reductions in millions of tonnes of waste and energy and more efficient use of the world’s resources.”
The Process and Chemical industry represents a quarter of the North East’s entire industrial base and employs over 34,000 people directly with a further 200,000 people working in support companies.
The North East Process Industries Cluster brings together many of the largest manufacturing companies in the region and represents over 350 member organisations with a combined economic might of £8 billion.
The other sector strengths in the North East supporting a knowledge-led economy are nanotechnology and digital media.
The Centre of Excellence for Nanotechnology, Micro and Photonic Systems based in North Tyneside has helped attract more than £40 million worth of new investment into the region – exploiting emerging small-scale technologies.
A team has been launched which will champion the North East’s growing role in the lucrative £2.4 billion digital media sector. A panel of some of the region’s most acclaimed businessmen in the field of digital technology are striving to seek fresh economic opportunities for North East firms in their roles within the eLeadership Council.
North East England’s offer in the pursuit of knowledge-led business innovation is completed by NStar. The early stage technology venturing company provides the region’s research base with business expertise, access to sources of finance and access to potential customers to maximise the commercial value of this work.
CONTACT POINT
One NorthEast
Stella House, Goldcrest Way, Newburn Riverside, Newcastle upon Tyne NE15 8NY.
Tel: +44-(0)191-229 6200. Fax: +44-(0)191-229 6201.
E-mail: strategicinvestment@onenortheast.co.uk
Web: www.investnortheastengland.com
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