IPMS Analysis of Development Based on
"SET Statistics 2000" and "Science Budget 2000"
(continued)
GOVERNMENT R&D
9. The Frascati Manual divides R&D into
three related activities; basic research, applied research and
experimental development. Table 4 shows that civil R&D budgets
fared slightly better than those for SET over the past 10 years
and will continue to do so. However within MoD there is a clear
emphasis on development, on which there is a planned increase
in expenditure of 21.8 per cent between 1999-2000 and 2001-02.
Research expenditure over this period will fall by 16.6 per cent.
Table 4
COMPARISONS OF CHANGES IN SET WITH R&D
EXPENDITURE (% CHANGES)
|
1989-90 to 1999-2000
| 1999-2000 to 2001-02
|
| SET
| R&D | SET
| R&D |
Civil Depts | -13.3
| -8.8 | +3.1
| +5.6 |
Civil Depts (exc NHS) | -36.8
| -36.2 | +5.0
| +9.2 |
Defence | -31.5
| -31.5 | -2.5
| +10.5 |
Total Depts | -25.0
| -24.1 | -0.3
| +8.6 |
Total Depts (exc NHS) | -33.4
| -33.1 | -0.1
| +9.4 |
Source: SET Statistics 2000 Tables 2.2 and 3.2.
10. In key departments, both SET and R&D have fallen
as a proportion of total departmental spending as shown below.
Table 5
SHARE OF DEPARTMENTAL SPENDING ON SET AND R&D (%)
| 1988-89
| 1998-99 |
| SET
| R&D | SET
| R&D |
MAFF | 3.2
| 2.6 | 2.4
| 2.4 |
DTI | 7.1 |
5.3 | 5.6
| 4.1 |
MoD | 41.9
| 43.7 | 35.6
| 36.7 |
Source: SET Statistics 2000 Tables 2.5 and 3.3.
PURPOSE OF
SET EXPENDITURE
11. Table 6 sets out the purpose of R&D expenditure
in key departments and research councils. It shows that in HSC
and departments where a high proportion of research is devoted
to policy support, like MAFF and DETR, there is likely to be very
limited scope for commercialisation of research output.
Table 6
R&D EXPENDITURE BY PRIMARY PURPOSE (1998-99 OUTTURN,
% OF TOTAL)
| General Support
| Government Services
| Policy Support |
Technology Support |
OST | 100 |
0 | 0
| 0 |
BBSRC | 96.3
| 0 | 0
| 3.7 |
NERC | 88.6
| 0.7 | 8.3
| 2.5 |
EPSRC | 89.9
| 0 | 0
| 10.1 |
PPARC | 94.9
| 0 | 0
| 5.1 |
MAFF | 8.3
| 0.07 | 70.3
| 21.4 |
DETR | 0.2
| 10.2 | 66.8
| 22.9 |
DH (exc NHS) | 0.2
| 48.6 | 48.9
| 2.3 |
HSC | 0 |
0 | 100
| 0 |
Home Office | 1.4
| 92.4 | 6.6
| 0 |
DTI | 0 |
0 | 48.0
| 52.0 |
Scottish Exec | 6.6
| 19.8 | 32.6
| 41.1 |
Welsh Assembly | 0
| 86.7 | 12.8
| 0 |
Source: SET Statistics 2000 Table 3.6.
Notes:
1. General support=all basic and applied R&D.
2. Government services=R&D relevant to any aspect
of government service provision (all defence included here).
3. Policy support=R&D which government funds to inform
policy (excluding government services and technology support)
and for monitoring developments of significance to the welfare
of the population.
4. Technology support=applied R&D that advances technology
underpinning the UK economy (excluding defence). The category
includes strategic as well as applied research and pre-competitive
research, under schemes such as LINK.
FUNDING SOURCES
12. Table 7 shows the UK's heavy dependence on government
to fund defence R&D.
Table 7
UK GROSS EXPENDITURE ON R&D PERFORMED IN THE UK (1998,
% SHARES OF
FUNDING)
| Total
| Civil | Defence
|
Government Departments | 16.8
| 8.6 | 63.4
|
Research Councils | 7.3
| 8.5 | 0
|
Higher Education Funding Councils | 7.0
| 8.2 | 0
|
Higher education institutions | 0.8
| 1.0 | 0
|
Business enterprise | 47.3
| 52.3 | 19.1
|
Private non-profit | 4.0
| 4.7 | 0
|
Abroad | 16.8
| 16.7 | 17.5
|
Source: SET Statistics 2000 Table 6.1.
INTERNATIONAL COMPARISONS
13. Table 8 shows the UK lagging behind international
competitors both in terms of government investment in R&D
and business investment in R&D as a share of GDP. The comparisons
are for 1998, which are the lastest figures available. However,
these pre-date the effects of the Comprehensive Spending Review.
Table 8
INTERNATIONAL COMPARISONS OF R&D EXPENDITURE (1998,
% OF GDP)
| Government (GERD)
| Business (BERD) |
UK | 1.82 |
1.19 |
Germany | 2.32
| 1.57 |
France | 2.20
| 1.37 |
Italy | 1.03
| 0.56 |
Canada | 2.89
| 2.10 |
Japan (1997) | 1.61
| 1.03 |
USA | 2.77
| 2.08 |
Source: SET Statistics 2000 Figure 7.2.
EMPLOYMENT IN
R&D
14. There has been a significant decline in the total
number of staff employed in Government R&D over the last 10
years, as shown in Table 9. This shows the effect of privatisations
over the period in depleting the government scientific resource.
Table 9
PERSONNEL ENGAGED ON R&D IN GOVERNMENT DEPARTMENTS
| 1988-89
| 1998-99 | % Change
|
Research Councils | 12,970
| 11,117 | -14.3
|
MAFF | 2,201
| 1,875 | -14.8
|
DETR | 1,505
| 223 | -85.2
|
HSC | 113 |
123 | +8.8
|
Home Office | 244
| 388 | +59.0
|
DTI | 1,003
| 126 | -87.4
|
Scottish Executive | 453
| 1,670 | +268.7
|
Welsh Assembly | 10
| 2 | -80.0
|
Total Civil Departments | 8,232
| 6,237 | -24.2
|
MoD | 16,206
| 11,843 | -26.9
|
Source: SET Statistics 2000 Table 8.4.
Note: Scottish Executive figures include staff at SARIs,
SAC and SNH from 1992-93.
15. Looking more specifically at employment by function,
Table 10 shows that the decline in numbers of researchers employed
by research councils has been offset by growth in the number of
technicians employed. The increase in research staff employed
by MoD is due to a steep upward shift in 1998-99 following a period
of long term decline. In 1997-98 MoD employed 4,940 researchers,
1,499 technicians, and 2,067 other support staff and administrators.
Across all areas there has been a substantial cut in support staff.
Table 10
PERSONNEL ENGAGED ON R&D IN GOVERNMENT BY FUNCTION
| 1988-89
| 1998-99 | % Change
|
Research Councils |
Researchers | 6,127
| 5,245 | -14.4
|
Technicians | 1,589
| 2,571 | +61.8
|
Others | 5,254
| 3,301 | -37.2
|
TOTAL | 12,970
| 11,117 | -14.3
|
Civil Depts |
Researchers | 3,683
| 2,498 | -32.2
|
Technicians | 1,449
| 1,451 | +0.1
|
Others | 3,100
| 2,288 | -26.2
|
TOTAL | 8,232
| 6,237 | -24.2
|
MoD |
Researchers | 5,209
| 6,625 | +27.2
|
Technicians | 2,809
| 2,654 | -5.5
|
Others | 8,188
| 2,564 | -68.7
|
TOTAL | 16,206
| 11,843 | -26.9
|
Source: SET Statistics 2000 Table 8.5.
|