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Medical technology


Calls to ‘unblock UK MedTech bottlenecks’


New research from CPI reveals systemic barriers facing UK MedTech startups and spinouts and calls for co-ordinated reform across regulation, investment and NHS adoption, to unlock innovation and deliver national health and economic strategies.


CPI, a leading translational research and innovation organisation, has published three interconnected reports offering a comprehensive analysis of the challenges facing UK MedTech innovators. Drawing on insights from 240 small and medium-sized enterprises (SMEs), 40 investors and 10 university technology transfer offices, the reports spell out the solutions needed to unlock the full potential of UK MedTech and deliver on the promises of the healthcare and life science sectors. Central to the NHS 10-Year Health Plan and


the Life Sciences Sector Plan, both released in July 2025, is adoption of cutting-edge medical technologies. However, UK-based MedTech innovators say they face too many barriers with funding and regulatory hurdles, especially compared to the funding and regulatory ecosystems for MedTech innovation in the United States.


Rahul Kapoor, Director of HealthTech at CPI,


said: “The life sciences sector, including medical devices, diagnostics and pharmaceuticals, is a priority sector for the UK and a significant economic driver. Achieving the 10-year plan requires access to funding for rapid development and reducing barriers to adoption of life saving technologies.”


The reports include a series of specific


recommendations aimed at enabling SMEs to navigate the regulatory process, find the funding they need and bring innovations to market. MedTech innovators see the UK regulatory body MHRA as under-resourced and difficult to navigate. UK SMEs also face declining domestic investment, forcing many to seek funding abroad. In response, the reports recommend increasing funding for SMEs. The Seed Enterprise Investment Scheme (SEIS) and the Enterprise Investment Scheme (EIS) do not directly increase funding but will provide a mechanism to unlock more funding as there is more tax relief for those investing. In addition, the reports call for increased R&D tax relief for SMEs conducting and scaling up clinical trials in the UK, and increased government co- investment for MedTech companies. Innovators also express a need for


better alignment with the NHS. Fragmented procurement and lack of clear mechanism for understanding demand are deterring investors and delaying patient access to innovation. The reports recommend launching an NHS Priority & Clinical Register, which would publish NHS unmet needs and procurement intentions. The three reports were developed as part


of the MedTech Accelerator: Rapid Regulatory Support (MARRS) Fund, a programme funded by the UK’s Office for Life Sciences to provide grants for regulatory guidance and to enable growth in the UK MedTech industry. The findings and recommendations include


the following:


Challenges & opportunities for UK MedTech The report ‘Challenges and opportunities for the UK MedTech SME ecosystem 2025’ includes insights from a diverse range of SMEs of different sizes at different stages in their regulatory and commercialisation journeys. MedTech innovations have the potential to


address healthcare challenges and reduce NHS waiting lists, yet the industry faces significant procedural and funding hurdles. SMEs specifically face significant barriers in developing and bringing their technologies to market due to lack of regulatory understanding and costs. Funded by the Office for Life Sciences (OLS), the MedTech Accelerator: Rapid Regulatory Support (MARRS) fund has supported companies by providing grants of up to £30,000 for regulatory guidance, with 142 SMEs already benefiting in the programme. The report was developed based on a survey completed by all SMEs that received grant funding. The report findings cover a number of key


areas: Regulatory needs and engagement: Ony 1


in 10 SMEs have all their regulatory expertise in house and conversely nearly two thirds have no internal expertise at all and therefore rely on external consultants. The main types of regulatory support needed by these SMEs included technical file development, QMS development, as well as support with development of their regulatory strategy. Generally earlier stage support is needed. UK MedTech innovation ecosystem:


The UK ecosystem is strong in supporting early-stage research and development but


January 2026 I www.clinicalservicesjournal.com 21


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