Medical products and technology firm Convatec (CTEC.L) has unveiled plans for a new research and development site in Manchester as part of more than one billion US dollars (£742 million) of investment in the UK and US over the next decade.
The FTSE 100 (^FTSE) listed firm said it has earmarked £500 million of investment in the UK, which will see it open the new “flagship” Manchester hub in 2027.
The site is set to be one of the largest in its global network of technology and innovation centres, according to the group.
It comes as a welcome boost for Britain’s life sciences sector amid a shift to the US to offset US President Donald Trump’s trade tariffs.
Drugs giant GSK recently revealed plans to put nearly £22 billion into US R&D and manufacturing over the next five years.
US-based drugmaker Merck also said its UK operation would scrap plans for a £1 billion site in London’s Kings Cross, which had been due to open in 2027 and just days later, AstraZeneca announced it had paused plans to invest £200 million at a Cambridge research site.
Convatec said around 200 staff would be employed at the new site, who will largely transfer from the firm’s existing R&D site in Deeside, North Wales, but the firm said there were “plans for further growth in the years ahead”.
It said the Deeside R&D site had “served as a major centre for R&D” since opening in 1996, but that Manchester was now seen as the “ideal location” for the expanded facility, “given its vibrant life sciences ecosystem, which includes leading universities, hospitals, and research institutions”.
The group confirmed its manufacturing operation in Deeside would remain a “cornerstone of its global operations” and is unaffected by the changes, with around 400 workers continuing to be employed at the site following the opening of the new R&D centre.
Convatec said the wider group plans included investing around 600 million US dollars (£445 million) in America over the next 10 years and expansion of its R&D site in Boston by the end of this year.
It comes after a review of its global growth ambitions, Convatec said.
Jonny Mason, interim chief executive at Convatec, said: “Our plans to invest more than one billion dollars – anchored by major expansion plans in both the United States and the United Kingdom – demonstrates our unwavering commitment to advancing healthcare innovation for people living with chronic conditions around the world.”
Science and Technology Secretary Liz Kendall said: “This landmark investment is proof of how, when the UK and US work closely together to unlock the latest medical breakthroughs, both our countries stand to benefit hugely.
“This is a deal that will create jobs, unlock growth, and improve life for patients from Manchester to Massachusetts – and comes hot on the heels of billions of pounds worth of investments into the UK from top US firms in life sciences and beyond.”