To ask the Scottish Executive when it expects research and development spending in Scotland to meet the EU average of 2% of GDP and what percentage of this spending it expects to come from the private sector.
Total Scottish expenditure (publicand private) on research and development in Scotland was equivalent to 1.5 percent of GDP in 2003. Total private business expenditure on research and development(R&D) in Scotland was equivalent to 0.6 per cent of GDP in 2003, whichaccounted for just under two fifths (38%) of the total R&D expenditure in Scotland.
The Executive has not set specifictargets for growth in R&D expenditure relative to GDP, but is committed to improvingScotland’s position relative to our main competitors. The Executive and its agencieshave a range of policies to encourage R&D and commercialisation activity inScotland and address this priority. These include:
The SCoRe and SEEKIT initiatives which support collaborative,pre-competitive R&D, jointly undertaken between SMEs and public sector sciencebase as well as enhancing public sector research organisations’ ability to workwith business;
The highly successful R&D grants under SMART/SPUR/SPURplus aimed at small and medium sized enterprises, researchers and prospective entrepreneurs,which are now at record levels;
The Proof of Conceptfund of £40 million fills a funding gap aimed at a pre-development conceptual phaseof high risk projects;
The Scottish Co-investment Fund (£45 million) and ScottishProposal Assistance Fund (SPAF) provide additional sources of assistance;
The Scottish Higher Education Funding Council has establisheda Knowledge Transfer Grant which will total at least £12 million in 2005-06, doublethe level in 2002-03, and
R&D plus designed to actively support large companiesengaged in new and innovative research aimed at developing products with potentialfor global commercial success.
Complementaryto these programmes is the establishment by Scottish Enterprise of three IntermediaryTechnology Institutes (ITIs). The three ITIs focused on the three industry sectors:energy, life sciences and communication technology and digital media will receivefunding of £450 million over 10 years. They will assist the commercial exploitationof knowledge and the creation of more knowledge based companies in Scotland.
In addition to this, annual UK surveys continueto show that Scotland performs well in UK terms on a range of measuresof commercialisation. The Executive is consulting with business about a furtherscheme linking business rates relief with research and development expenditure.