The life sciences sector in Wales generated over £2.6bn in turnover for the Welsh economy, up 12.1% on the previous year, new figures reveal. Data to the end of the financial year in 2021 from the Office for Life Sciences (OLS) show that income growth of Welsh life sciences companies outperformed those in the rest of the UK.
Over 260 new businesses have launched in the Welsh life sciences sector since 2020, with the industry now employing over 12,500 people in Wales, up 1.9% a year earlier.
In terms of exports, medicinal and pharmaceutical products were among the top five exports from Wales and have a yearly value of £1.1bn The latest pharmaceutical exports were up over 30% compared to the previous year, export figures show.
Cari-Anne Quinn, chief executive officer of Life Sciences Hub Wales, said she was pleased but unsurprised to see the latest figures illustrating the strength of the life sciences sector in Wales.
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“As evidenced by the united response to Covid-19, we’ve also seen a real coming together of the industry, with businesses and health and social care providers working together more effectively than ever to find solutions to real health and care challenges,” she said.
“This has been a really positive thing for patients and industry alike, and we at Life Sciences Hub Wales have been pleased to play a part in that.
“I believe, given the exciting developments we saw in 2022, including large multinationals growing in Wales and many new and innovative businesses launching, we’ll see even stronger evidence of the power of Welsh life sciences in the coming years.”
There has been significant growth amongst Welsh firms within the life sciences industry in recent years. Global medical technology company Siemens Healthineers announced plans to upgrade its facility in Llanberis, along with the creation of 100 high-quality jobs, with Welsh Government support.
Powys-based CellPath, which manufactures equipment and services used in cancer diagnostics, has become a multi-million pound turnover business. It was bought by Texas-based manufacturer StatLab Medical Products last July, but is committed to maintaining and expanding the firm's presence in Powys.
CellPath’s director Paul Webber said: “Over the last few years, we’ve been experiencing significant year-on-year growth, driven from both our sales in the UK and overseas.
“Being based in mid-Wales alongside our team of territory managers throughout the UK allows us to develop a close relationship with universities and the NHS, and allows us the opportunity to have a fantastically strong, experienced, and loyal local workforce.
“Added to that, the innovation support we’ve received from the Welsh Government has undoubtedly allowed us to implement our growth plans and experience the upshift we’re currently seeing.”
Llusern Scientific recently launched to market in Wales and specialises in affordable and portable molecular diagnostics. Chief executive Emma Hayhurst said: “We couldn’t have imagined launching our business anywhere else. Not only are we surrounded by lots of other new innovators, but the supportive environment for spinning out a business has been invaluable.
“We’ve had support to develop our website, gather our clinical data, showcase our product in the UK and internationally, develop links with customers and open our first funding round."
Vaughan Gething MS, Minister for Economy, said: “Our life sciences sector is a vitally important part of the Welsh economy. The Welsh Government has been determined to support the sector to grow and thrive, and these latest results demonstrate that support is truly bearing fruit.
“Not only are our life sciences companies creating and providing high quality jobs for people across Wales, but they’re developing products and services that tackle the problems we face as a society today. This is crucial as we continue to recover from the Covid pandemic, enabling people to live healthier and productive lives.”
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