UK firms are splurging on research and development (R&D), according to the Department of Trade and Industry.
Investment peaked at £19.2bn compared to £17bn last year, an 8% growth rate that puts the UK on a par with US companies’ R&D.
IT firms are particularly active, with software companies ramping up R&D spending by 13%.
The encouraging results are due in part to the addition of banks, insurance, media and retail into the R&D scoreboard for the first time.
“R&D plays a key part in business success, and demonstrates the ever-widening relevance of innovation, and the R&D that goes into its creation, for companies large and small,” says science and innovation minister Lord Sainsbury.