CEO Update | Monday 1 April 2019

It’s now the second quarter of 2019 and frustratingly Brexit uncertainty continues. I don’t see it being resolved this week. I know many of you are, at high cost, making contingency plans for all eventualities. I am equally well aware of how the Westminster drama provides an unhelpful backdrop to those seeking global investment into UK businesses. This week, following the PM losing the vote on an amendment  and another Withdrawal Agreement vote, Parliament will vote again on different Brexit options to see if there is a position that commands a majority of the House. The  default in UK and EU law is that the UK will leave the EU on Friday week, 12 April 2019 without a deal, however avoiding a no-deal Brexit is the one thing for which there has been a majority in Parliament.  I expect the PM this week to propose a way forward that is likely to be discussed at the emergency European Council now due to take place next week on 10 April. This meeting will provide the opportunity for the UK to seek an extension to the Brexit deadline – but the EU has said that to get it, the UK must agree to hold European Parliamentary elections and have a way forward, which would likely lead to a long extension.

For our sector, further MHRA guidance on how they will operate in a no-deal scenario continues to be published (not all the guidance promised by the end of March hit that deadline, but we always said it was a Herculean task to ask of the agency) and we are reflecting the latest on our Brexit microsite.  This week the Government wrote to companies participating in its Medicines Supply Contingency Planning Programme about the National Shortage Disruption Response (NSDR) system and how that will operate in a no-deal scenario. The ask from the Government this week remains that companies continue to be prepared for no-deal (and all other scenarios) against the new 12 April deadline.  

What we remain committed to is ensuring BIA member companies to have a speedy and credible route to the latest Brexit information. We understand how frustrating it is to work against deadlines of mere days and with high levels of uncertainty on fundamental tenets for our sector.   After organising a successful Brexit roundtable with government in Babraham Cambridge for life science companies , the BIA is now supporting a similar event in Oxford on the afternoon of 23 April – the Tuesday after Easter.  The Office for Life Sciences will host a roundtable to provide companies with further Brexit information (focusing on preparing for a no-deal Brexit) and provide an opportunity to feedback. This is targeted at smaller companies.  The event is being organised by the Oxford LEP.  If you would like to attend please contact BIA Brexit Lead Laura Collister. At the next BIA/ABPI Brexit Lead network on 9 April for members, we will have speakers from the DHSC’s Medicines Supply Chain Contingency Planning Programme, DExEU and the Home Office. You can catch up with the latest on Brexit at our next webinar, open for all, on 12 April .

This week we also have a blog on 5 things that life sciences companies should think about if there is a no-deal Brexit.

Last week the BIA team also went to the Centre for Process Innovation (CPI) in Darlington to attend an event organised by the KTN and Innovate UK, “Innovation in Medicines Manufacturing through Collaboration”. The event focused on wave 1 of the Industrial Strategy Challenge Fund (ISCF), which committed significant government investments into medicines manufacturing and it was fantastic to learn more about the positive impact of these investments have had for BIA members almost two years since the initial announcement. Many thanks to KTN and Innovate UK for organising and to CPI for hosting.

Our CEO and Investor Forum is shaping up well and is a great event to hear the latest insights from the newest investors excited by the opportunities in our sector in the UK. We’ve worked hard to make the event a must-attend for these global investors who are as diverse as public market players from Asia and Hong Kong, Tech investors from the adjacent space of Digital via digital health,  sovereign wealth funds and UK pension fund asset allocators interested in long term growth. It will be great to showcase the best of our sector to them and I hope you will consider joining us at the event.

Have a good week and keep an eye on our social media platforms if you want the latest on Brexit as it moves.