The UK government has announced an investment of at least £15 million in the Cambridge Innovation Hub, aiming to strengthen Cambridge’s position as a global centre for innovation. The funding is part of a larger £500 million package intended to support new homes, infrastructure, and business space along the Oxford to Cambridge Growth Corridor.
The new Innovation Hub will be built on a 2.7-acre site in central Cambridge. It is designed to connect entrepreneurs, investors, corporations, and researchers, with the goal of supporting science start-ups and enhancing their competitiveness internationally. The facility is modeled after similar innovation centres in Boston and Paris.
The announcement coincided with the Innovate Cambridge Summit, which brings together key figures from entrepreneurship, investment, policy-making, and politics.
A recent report by Beauhurst, Cambridge Enterprise, Innovate Cambridge, and Cambridge Innovation Capital highlighted that early-stage life sciences and deep tech companies in Cambridge have raised £7.9 billion since 2015. The report also noted that international investors now participate in nearly 40% of deals in the region, up from 7% ten years ago.
Over the past decade, the number of active companies in Cambridge’s innovation ecosystem has grown by almost 80%, rising from 473 in 2015 to 848 in 2025. Spinout companies originating from university research have played a significant role; they account for nearly 28% of all equity raised locally. Investment in these spinouts increased from £46 million in 2015 to £879 million by 2024. Life science spinouts alone raised an average of £8.4 million each last year—the highest figure among UK cities.
Several companies exemplify this growth trend, including CellCentric (biotech), CuspAI (materials discovery using AI), and Featurespace (financial crime prevention analytics).
Science Minister Lord Vallance stated: “Cambridge is one of the world's most fertile grounds for innovation to take root, and blossom into opportunities for investment, job creation, and progress in fields ranging from life sciences to deep tech.
“As impressive as these figures are, there is still more potential here for us to unleash. This is precisely why we are backing the Cambridge Innovation Hub, as part of our programme of work across Government to boost the entire Oxford to Cambridge Growth Corridor, and fulfil its promise as an economic engine the whole nation benefits from.”
Professor Deborah Prentice, Vice-Chancellor of the University of Cambridge said: “Fast-tracking the Innovation Hub will help drive UK growth. It will connect entrepreneurs, investors, corporates, and our world-class researchers. It will quickly become Europe’s leading destination for early-stage deep tech and life sciences companies, and means Cambridge will continue to be a global leader in research and innovation. The world is coming to Cambridge for science. Government support means that work will now start at pace to make the Innovation Hub a reality."
Professor Andy Neely OBE, Chair of Innovate Cambridge added: “Cambridge’s science and innovation ecosystem is one of the UK’s greatest economic assets. The data shows that the world is increasingly looking to Cambridge to find the breakthrough ideas that can change lives and drive global progress.”
Dr Kathryn Chapman, Executive Director at Innovate Cambridge commented: “The Summit is a chance to demonstrate how Cambridge continues to lead on innovation worldwide. Recognition as the fastest-growing UK hub for science investment, combined with cornerstone funding for a new international innovation hub, reflects the success of our unified vision and commitment to building a truly global innovation economy.”
Earlier Dealroom data indicated that per capita venture capital investment in deep tech was higher in Cambridge than anywhere else in Europe; globally it ranked second only behind California’s Bay Area when measured by unicorns per capita.