Government’s Potential Withdrawal from AstraZeneca Investment Deemed ‘Tragic’

A former high-ranking executive at AstraZeneca, who previously worked closely with Sir Pascal Soriot, has warned that it would be a “tragic” misstep if the government fails to uphold its pledge to support a planned £450 million investment in a vaccine production facility located in northwest England.

Recent reports indicate that the Treasury has deliberated reducing state support for the project to £40 million, a significant drop from the verbally promised £65 million supposedly offered by former Chancellor Jeremy Hunt.

During his March budget speech, Hunt praised AstraZeneca’s investment plans, which include expanding the nasal flu vaccines plant in Speke and a separate £200 million enhancement of global research and development in Cambridge.

Sir Mene Pangalos, who retired in March after 14 years as executive vice-president for AstraZeneca’s biopharmaceuticals research and development, emphasized that the new facility in Speke would “preserve jobs and generate further investment in UK science in the northwest and beyond.” He highlighted the “intense” global competition for investment from large pharmaceutical companies.

“The government needs to be encouraging R&D and capital investment in the UK, not making it difficult. This means meeting commitments, adopting innovation and making the UK environment attractive for business,” he posted on LinkedIn.

Sir Mene Pangalos, right, joined the then Prince of Wales, AstraZeneca chairman Leif Johansson, left, and chief executive Sir Pascal Soriot on a visit to the pharmaceuticals company’s Cambridge biomedical campus in 2021

Pangalos, 57, played a crucial role in the national pandemic response as both an advisor to the government’s vaccine taskforce and in overseeing Vaxzevria, the Covid vaccine developed by AstraZeneca in collaboration with the University of Oxford. He serves on the boards of The Judge Business School, Cambridge University, and the Francis Crick Institute, and has taken on several other board advisory roles this year.

The Treasury stated this week that it remains in “positive discussions” with AstraZeneca and that Chancellor Rachel Reeves receives regular updates.

Although AstraZeneca, which recently saw its valuation on the London stock market exceed £200 billion, has declined to comment, Soriot, 65, mentioned last month that the company was “absolutely ready to go” with its expansion in Speke and that the government contract “is going through the process. So hopefully we can conclude this quickly and get on with the investment itself.”

Maria Eagle, the Labour MP for Liverpool Garston, whose constituency includes AstraZeneca’s Speke site, is reportedly planning a meeting with the government’s Office for Life Sciences next week to secure the investment.

Andrew Griffith, the shadow science secretary, remarked this week that AstraZeneca’s plans to expand its Speke vaccine plant represent a “big boost for Britain and it would be wrong to jeopardize this British success story.”

Publicaciones Similares

Deja una respuesta

Tu dirección de correo electrónico no será publicada. Los campos obligatorios están marcados con *