Table Of Content

GueD )CSet ntartali c Rrierlseta se CSO (95) 267 a {~ Business Enterprise Research and ep 9° WAY Ve Development 1994 Expenditure performed by Business Enterprise in cash & real terms 1990 to 1994 percentage £ million change RIGO TPO Tait992 . 81993 1.0994 93-94 In cash terms Civil 6557 6669 7092 7710 8012 +4 Defence n7G0) 1466. 1397) 31359, 1517 +12 Total 8318 8135 8489 9069 9529 +5 R&D expenditure £ million 10000 ; In real terms (1990 prices) Poa 9000 Civil 6557 6274 6417 6769 6913 +2 Real terms eat Defence PGi isso (126461193) 21309 +10 ee 8000 Total BS1Se, (65Sienz682y 17962) «8222 +3 e 7000 Cash terms ; ae. The 1994 results, which are being published a month earlier than previous years, are from the first new style annual sample survey of business R&D. Comparisons in this ero 1 87 88 89 90 91 92 93 94 release are made with the 1993 large scale survey. In 1994, in cash terms and compared to 1993: ° Total expenditure increased by 5 per cent to £9.5bn ° Civil expenditure increased by 4 per cent to £8.0bn Issued by: ° Defence expenditure increased by 12 per cent to £1.5bn Central Statistical Office Sanne eya o In 1994, in real terms (1990 prices) and compared to 1993: Tneleepheone : Rerorg ess9/é512 ° Total expendit. ure i. ncreased by 3 per cent to £8.2bn Public inquiries: 01633 812291 0171-270 6363/6364 ° Civil expenditure increased by 2 per cent to £6.9bn eee wis 813063 ° Defence expenditure increased by 10 per cent to £1.3bn TNoe xtb e paunblniocuantcieodn date: Prepared by the Government Statiasntei cal Servi°c e SS a aT eS EE EP RE EES UK Business Enterprise R&D 1994 Expenditure on R&D performed in UK businesses: cash and real terms; 1987 to 1994 (Table 1) In 1994, £9.5 billion was spent on R&D performed within UK businesses - a rise of 5 per cent at current prices compared to 1993. In real terms (using the GDP deflator) expenditure increased by 3 per cent. In both years the expenditure was about 1.4 per cent of GDP. Expenditure on R&D performed in UK businesses: product groups, 1987 to 1994 (Tables 2 and 3) The product group with the largest R&D expenditure was pharmaceuticals: expenditure in 1994 was £1,824 million, 19 per cent of all spending. Aerospace R&D expenditure of £1,059 million, 11 per cent of all spending, was the second largest product group. Sources of funds for R&D performed in UK businesses: 1987 to 1994 (Table 4) Funding of R&D in UK businesses by the EU Commission through its schemes to support R&D in the European Union amounted to £89 million in 1994. Other funding from overseas (ie excluding funds from the EU Commission) was £1,470 million. Funding from the UK Government was £1,130 million. Business funding of R&D remained at over 70 per cent of the total from all sources. Employment on R&D performed in UK businesses, 1987 to 1994 (Tables 5 & 8) The number of staff employed on R&D declined by 2 per cent between 1993 and 1994. Within that total the number of scientists and engineers decreased by 1 per cent whilst the number of support staff fell by 5 per cent. As a percentage of total R&D employment scientists and engineers accounted for 53 per cent in 1994. Staff working on civil R&D fell by 4 per cent between 1993 and 1994; this contrasted with an increase of 14 per cent in those working in defence R&D. as . wa ~ n f i.o n . oe : Pa ai 1 ’ ® akea e.an t 7 , ; 7 7r dae agatortiand AUn t RARE 5 ibinwep ae i. uiv e ahau asff (F sida) beer 9 Wer seams) Isa bas <4 eee ase Lr 5 ok ee iU ribiw berroheg Chal Ad drede Baw nentite 2.03,p oe a’ l% ¥s\ a, boequnos enoltq trex i Inse tee] SC 1d Sut A - eomeortians omnibrsexs (otelish 9S alt gale) emretiowi nl Beer = ee MW mutibnsccs a at — riod al ings wsqy Cyd DAW aeae = 7 y FID to te ea Rt tuo ee aren ae J a Y 2 ‘Sepanizod IU ai faea noheg G34 no switbyaqad ae . bea S eoldsT) PCT of Seek wpe huborw | _ aA ors venudtbreqe amC 13ae5 1 teen ial ofl Hilw caraip tbody aT 7. ee (lim: $85 0 aaw a! i ri opis: G49 -elaochmopurEtG giitbaotsa Cdl segeosA qunibrsge Ms to tnws aaq SE ) Ca topse ub asw waoilerde Us trv tigo 99651 calling FEES Quem tobong teagisl : 2 i*9" Fe ouagnisid AU ai bertotreas O38 sak abe? bo eeoied el: (6b sidaT ) beer at Veer a Juche). US ot vd esecanjeud AU nt Ch5 to entra ae aan ty $5 TA Lertt oC 4 TON 2 OF SITS ortaa. #1 itsy ear . an) alba wh eel wali Ge 7 batnbierise i (1 irene > (29 oft cnet? ebiawi qaiibyloxe ab) aeaave A ingens yo) OD} of are gaibaeel srodlliny O56,1 2 a ‘nailling OEL 3S i) dra Yeg ON 180.08 baetieret Oba ty gta eee ager age {Ie anott bagad f pis oe THOT oeeeeniagd AU ai bonmmolig (U24.F en eaioll eint? et a 2” a ? ae L is At; ; : _ j , m4 / . 4 ‘ ry; Lord trrotlab deh ae bavolqemy tated ae. Nera! otiiknan i HORT so babs. Si s ais MARW hiSo erry i. mvaah ,a UA oy eee dar seey S os i eee ad hrs sek: bee “OL ase yO 7 sor . bad 3 jee ke a ee ol fue OLS yale 7 ae | q 4 t SSSR IEE RT TY Expenditure on R&D performed within UK businesses: civil and defence, by broad product group, 1989 to 1994 (Table 6) In 1994 Chemical products dominated civil R&D expenditure accounting for 33 per cent of the total. The second largest civil broad product group was business services accounting for 24 per cent of total civil R&D expenditure. Defence R&D continued to be dominated by aerospace and electrical products groups with the steepest rise in 1994 in the Aerospace product group. Sources of funds for R&D performed in UK businesses: civil and defence; 1989 to 1994 (Table 7) The funding for civil R&D shows a different pattern from that of defence R&D. In 1994, in the defence sector, Government funded 50 per cent of R&D - this compared to 5 per cent Government funding for civil R&D. Regional breakdown for Business Enterprise intramural R&D in the UK, 1994 (Table 9) The methodology for estimating the regional breakdown of UK business R&D has been improved in 1994 (see notes). The region with the largest R&D expenditure is the South East with 50 per cent of the UK total. The second largest region is the North West with 14 per cent. R&D intensity in manufactured products, 1993 to 1994 (Table 10) R&D intensity in each product group is compared by considering the R&D expenditure as a proportion of the total sales of the product group recorded by the CSO’s PRODCOM survey. Some of the 1993 PRODCOM data has been revised (see notes). In 1994 R&D expenditure on manufactured products was 3 per cent of total sales. Pharmaceuticals, at 25 per cent (the same as in 1993) had the highest proportion of sales spent on R&D. The second highest was Aerospace at 12 per cent (11 per cent in 1993). ay Paria: teRe eetum) ace aa stu:c isoivebocbl0 POL of CBT qo a {188 livio botantnad aisubort lana vena ofT sto) arfi to tea Taq £f 208 ne ee panieud 2ow qb aig touherig band fivis ragga ena | CUA tivin fete Fo $i wey BY tc n yntriucdos esohryae 2 a,n e .¢ baienianub od of bouniines CBA ssnsied] sartibrsgee 4 a jeocsele oft dtiw eavore eau borg fepitisls bre eosin | a quora Dubai apaqeorsé off ni bCR aieeir -eoa2oriaud 3U ni bientete Ga sot chen tte eemaped’ ~ a vis Tv ateda Ty) S001 wy CHET rooms fan liven RaAwe bef prvite ne sonsveb ib @ 3 oct vin PCr Cis el bCyatkee tosts pwmrtteitb rntt otafeT : a J “4 LAs ite its? ; i ty . bob ty ryote) 7 - . LA livin tot gnibrast wetenives) ieswa g C ,) Vee ‘a. , giimi 4airqiedi | seo 30? aweotassrd lanoigee: aldo TY Peer 3 olf ni G88 aes 17 ai wns — tot Ygolobadtem ant 7 on obo) SR2( me . bevoromi ned aul Chote eesetiand » Soie i — a4 at a a * , ery $e'ey TW: orf! (hw TOPest esi T ey ’ ~ UT ; a ry { cys yi ; at yes began’) TH coe dite sack . hf atrw weW shai ef? 4) Orge = Keo! af FCT alow borg boats arent a) yiena) Cae , (i sidTaT : rj Lodnaqiec st ator bee dons nt Vtienainr Gheet isiat arcit lo anlheGorwd, « 28 mire dace oy jai 'OF2> ort vd bebross: queie nehaty sdf esine. itl sink MIDDOOONS E81 ait oret Ape Mi 1084 (vodt ao r) heen sd, sadl s ’ a cm enw atoubord burton no cima ches weer nl, tran weq 28 ts alasitveosamasl jealps tate Fo terOD 99K ‘ . , =i “ilae in nothogory saork irl orit becl (OROF ai rolagrem aie a seda y ene iG aoecenieas 2bw vewigil bats af" TA cn pene besser ) eh. ae es | - iG) ae oA ~- re SF TTT SN aI , > e . } SSELES Ete OT EN Oe Ea NOTES The 1994 Survey Sample design ss Since 1985, there had been a series of 4-yearly large scale surveys with slimline surveys between. The slimline surveys collected annual information from a fixed panel of the largest R&D performers in the previous large scale survey. The 1993 survey was the last large scale survey. The 1994 survey marked the first annual smaller-scale sample survey based upon a continually updated register of R&D performers. Approximately 1600 forms were sent out to R&D performing businesses. These 1600 companies were selected using a stratified sample taken from a register of R&D performers. The stratification variable was the company 1993 R&D expenditure figure. The 300 largest R&D spenders in 1993 were all sampled. These account for 81 per cent of the 1994 total R&D expenditure figure. Smaller R&D performers were selected using various sampling fractions, according to the company’s level of R&D expenditure. Other businesses were also sampled if, from information gained from various sources, there were indications that R&D activity was likely. 1505 businesses returned completed forms, representing a response rate of 94 per cent. Estimates were made for the R&D activity of unsampled and non-responding businesses. Changes to 1994 survey 6. For 1994, improvements were made to the collection of regional data. The businesses were asked to provide a breakdown for each region where R&D was performed. peat ahd Abe ii perasin ¥ ¢ eornst: ale 5 tas ee Wee we Vb to eirse « reed Berl owrlt gael ko aril new bed eveviwe anilmile Aliw ers! nod eoternotnt inne Seteslia eysvie > 7 iver earlt ai annette (bs agit whi hoe SRtal fea orld asw er risa Eel alt Viviane ne lausine Jor 2% Gedkbern wewrwa \ Meet sulk ‘ | MNS 22 & THO OS wud y , gies = én SiITaore eG Oy?“1 ¢t > HK Mety oy.‘ * a : vk, Tere 1. , rCe} r ? in ‘<—-a3*3 ees fetee e yAp Iie] 3;T %) ‘ ay J f . > . J L: y6. ThTePe T aie t8e neana vi»u sde eg s1e { ; fe;”‘ Y . : 4( th.i nd a W: rP y » b>f ST sFs; e hay 14 VICI VE A + C; is 4) 7 5 -, - 4. rr ' +4 el. eof dg a ws -¢ m if i <n s vr aujtikyras z ated ' Mail ; ad q ytJ : ed 6 ve) * + i , - “7 vv : 7 TI $ ’ ; ‘ . riz y ' : eae ' Lit? mon 7 6% ‘iva izh7i ine eemgadi bert sey <r ; io batelqnines haruyien enpeatiend OGEI } ya> sor] -eY 369-4) rote A t “Fie_? , : 7? i Siotls. } hsi mw al ¢ wiFt ey} Sw bite 3w raie|a 4 “ghrerte sel WsU ili erhotoe) Bere - yorrus SORE of cromnd) @ 2 oH ot gluun si Paseo rm aves aid oO ce Siw assageiage ot ath Tepid ) 2s " c] a i? ou sgt wf 7 ny 2 | wh ply } | mwebaesne LS PETE TN REE ER Ee ET a RE Sade s EE TS MDS OE ESE ES I EET CSE SEI OTS E I Revisions to past data 7. R&D intensity figures calculated in Table 10 have been revised for 1993 to reflect revisions in PRODCOM data for that year. More detailed information 8. Amore detailed analysis of the results of this survey, and description of methods used, will be published in a Business Monitor M014, due for release in February 1996. It will be available from HMSO. Definitions Research and Experimental Development (R&D) 9. R&D and related concepts follow internationally agreed standards defined by the Organisation for Economic Co-operation and Development (OECD) and published in the "Frascati manual." R&D is defined as “creative work undertaken on a systematic basis in order to increase the stock of knowledge, including knowledge of man, culture and society and the use of the stock of knowledge to devise new applications." R&D performed in UK businesses 10. This refers to R&D performed in the UK within business enterprises. It excludes R&D funded by UK businesses that is performed overseas or in other sectors of the UK economy (such as higher education; government departments, agencies, and non-departmental public bodies; local authorities; and private non-profit organisations). Public corporations are counted as business enterprises. Product Groups 11. Respondents are asked to provide separate information on each product group classification. The product groups used are shown in Table 2. The allocation of R&D to product groups must be regarded as approximate since it is not always straightforward and a single programme of R&D may cover a range of products. ct : i , ae " med avast OI stint rikm s ai hance ‘ us cet MNOUONT ot encieive: ipaiisr of ECR L1 0) bseiver head wrk toh \ y p+. * 4 | oy x : ; 5| noitsomota: belisish areM dt ig eiivess ott io sievlene beligieh moanA 2 be ' 4 doildua oc iliw bean ebodeyn io pottummest bis k rir om: sensor 10) gh BLOM 1otieoM feared $n ar aaa oy ee O2cMA mot osha Lisve od ilhw TE Qeel | = , or ’ i r) Z hoa soit 7 a [ = Al i:) os 3¢ .8)+ inomeoolovel]o y lea iroeniveuxdP Os =b aa » y>i eeeent a s at 7 HS aea y y Lah AF be Pe a r)s va wt { t5h5i a4 =~ 7 my Pi raneod 1h AOnmeinAset) orl ye nentieb sambnade } : *y : : | Wye et Sept.) =i Mi ui _ ? ¥4 a4 , | * ‘aat re ’ ar ee jase oleriwe 8B MO Ae area Sw a ." , Aes: roe - 7 df cM uu A f va ) 4K Ae aI T! Wad ixnic testis svtertfnes: cadet , ¥ i falyae Gi my og b ed ve Ta“a ‘ efiactt A ot bacrtreq (ba ae, ; » honmndtrecr (4851 of] evsion sey AO ntewid A CG Retete ie T hsria“s ‘) SALT TIGINGD os : yor id M1 7O Bele taVO bys nohey # jal} » ,oteowim verkett an rigur! yore 10/7) Dry 24s zene Hinng-non seviny bin abiotties aot alot ide" tanoitte lage ayer tet ips eine AEE. — piss ’ Jamon olsinese shivend at asep Sar rina OK ub i “i noitesitizaals qumg toute be O48 to nohesoolis wiT.S abiaT ni aware we nie a stemrmexe ak6 as be! JIBS 43 vant aquorg Tokk ep ein - oarde # bee brewi0irigtarte ayavels ona toot oe aoube a id 9%g ist 6b IevOD wee asry, mig co ; ¥ ape 3s ; 2s eS. ioe a