UK Semiconductor Centre announced as part of strong support for semiconductors in the Industrial Strategy
Today marked the launch of the Government’s Industrial Strategy, a comprehensive plan for economic growth focused on eight key sectors: advanced manufacturing, clean energy, creative industries, defence, digital and technologies, financial services, life sciences, and professional and business services.
As part of this strategy, the Digital and Technologies sector plan specifically highlights the critical role of semiconductors in driving innovation and supporting economic growth.
It's encouraging to see semiconductors explicitly recognised for their enabling and transformational potential, featured alongside technologies such as quantum computing and artificial intelligence as part of the six identified “frontier technologies.”
What semiconductor support was announced?
The Digital and Technologies sector plan outlined the following, much of which reflect the needs of industry identified in techUK’s UK Plan for Chips:
• Establishing a new UK Semiconductor Centre to bring together industry, academia and government, and provide cross-sector leadership on semiconductor innovation, alongside ecosystem building and business services. With funding of up to £19 million, the Centre will also develop long-term R&D and infrastructure roadmaps to guide future investment in semiconductors.
• Funding Innovation and Knowledge Centres (IKCs) to help bring chip technologies to market, with £25 million to launch two new IKCs in Neuromorphic Computing Hardware and Heterogeneous Integration System Design joining existing IKCs in Photonics and Power Electronics.
• Boosting the UK’s chip design capability through a new Chip Design Enablement Programme with up to £5 million initial funding to provide state-of the-art tools, talent support, and technical expertise to boost innovation in chip design, including for AI and emerging architectures.
• Improving the semiconductor talent pipeline through a £35 million UK-wide skills programme, including semiconductor bursaries to boost enrolment in priority degree courses and semiconductor-focused STEM outreach activities. A new Centre for Doctoral Training in Future Semiconductor Skills will help build deep technical expertise in strategically important areas.
techUK's perspective
UK Semiconductor Centre
techUK warmly welcomes these announcements, many of which reflect well the challenges and solutions outlined in our UK Plan for Chips. A centralised hub for the UK semiconductor sector has been a long-ask from industry, including not only from techUK, but also by the Chips Coalition in an open letter to the Secretary of State last year, and the Institute for Manufacturing's infrastructure feasibility study in 2023.
techUK believes this centre could play a key role in supporting the sector through a number of ways. Firstly, the UK Semiconductor Centre should serve as a central hub that brings together the UK’s vibrant regional ecosystems, coordinating access to critical national infrastructure, and supporting scale-ups through targeted initiatives that help navigate and connect the landscape.
The Centre should also foster stronger links between semiconductors and other emerging technologies, such as AI, quantum, and photonics, and play an important role on the international stage, representing the UK as a serious global partner in semiconductor innovation and collaboration.
Further announcements
techUK also welcomes the Government’s the new Chip Design Enablement Programme. By providing up to £5 million in initial funding for advanced tools, talent support, and technical expertise, this initiative addresses the importance of collaborative design facilities that reduce barriers to innovation for SMEs and design/IP firms.
Enabling access to cutting-edge resources without the prohibitive costs faced in developing these individually, will prove an especially good investment for next-generation architectures in AI.
Finally, techUK welcomes the £35m investment into semiconductor skills, which is one of the biggest challenges to chip businesses today. We look forward to learning more about the delivery and roll out of these skills initiatives.
What comes next?
Whilst the semiconductor sector will require sustained long-term support, these announcements are a fantastic step in the right direction. The recognition of UK strengths - including a spotlight onto techUK member Arm- recognises and addresses a strong industry sentiment - we need to turn strategy into action now!
techUK looks forward to working with Government in supporting the delivery of these announcements. As the UK voice for the semiconductor industry, alongside the Chips Coalition, we are eager to continue the work in making the UK a leader in researching, developing, commercialising and scaling semiconductor companies.
If you’d like to explore how this Centre should be delivered, please join us on July 7th, for a half-day session in London- How can a National Semiconductor Centre support the development of a thriving UK semiconductor sector? . Here we will explore with key industry and policy leaders, how the Centre can deliver regional support, align with other emerging technologies, and represent the UK internationally.
Please see below a quote from techUK’s CEO, Julian David.
Authors
Elis Thomas
Elis joined techUK in December 2023 as a Programme Manager for Tech and Innovation, focusing on AI, Semiconductors and Digital ID.
