A new £11.7 million initiative to help pharmaceutical companies turn research breakthroughs into market-ready medicines has been announced as the first project funded through Northern Ireland’s £30 million UK innovation allocation.
The iPHARMA project, delivered jointly by Queen’s University Belfast and Ulster University, will provide businesses with specialist facilities and expertise to develop and manufacture innovative pharmaceutical products. The funding comes from UK Research and Innovation’s (UKRI) Local Innovation Partnerships Fund (LIPF), a £500 million UK-wide programme designed to boost regional economic growth through locally-led innovation clusters.
What iPHARMA will offer
The project addresses a critical gap in Northern Ireland’s pharmaceutical pipeline: helping companies move from promising laboratory discoveries to commercial production. Many small firms with innovative drug ideas struggle to access the expensive equipment and technical know-how needed to prove their concepts work at scale—a process that can derail potentially life-saving medicines before they reach patients.
iPHARMA aims to bridge this gap by providing:
- Specialist facilities for developing and scaling up new medicines
- Expertise in advanced manufacturing and digital technologies
- Support to reduce technical risks and shorten routes to market
- Help with regulatory and clinical translation challenges
In practical terms, “translational support” means helping researchers navigate the complex journey from laboratory bench to patient bedside—including regulatory approvals, clinical trials planning, and manufacturing at volumes suitable for market. “De-risking manufacturing” refers to providing facilities where companies can test and refine production processes without committing to expensive full-scale factory investments prematurely.
Significant backing for Belfast-Derry corridor
The announcement marks the first project revealed from the £30 million allocated to the Belfast-Derry Innovation Corridor, one of ten UK regions earmarked for LIPF support. The corridor was confirmed as an earmarked region in July 2025 alongside Glasgow City Region and Cardiff Capital Region, with applications closing in February 2026.
The LIPF operates on a “triple helix” model, requiring partnerships between local government, businesses, and universities to identify and deliver projects aligned with regional strengths. Northern Ireland’s portfolio, submitted to UKRI earlier this year, focuses on Life and Health Sciences and a Net Zero Transport/Energy Infrastructure-Enabled cluster.
UKRI, the UK’s largest public research and innovation funder with an annual budget exceeding £9 billion, expects its £500 million LIPF investment to generate over £1 billion in co-investment and £700 million in additional value to local economies through new jobs, products and services.
Building on established strengths
Northern Ireland’s pharmaceutical and life sciences sector already contributes significantly to the economy. According to industry estimates, the wider life sciences sector supports approximately 19,500 full-time equivalent jobs and generates £1.2 billion in gross value added. The region hosts major employers including Almac Group, Randox, TEVA and CV6 Therapeutics, with around 250 companies operating in the broader life and health sciences field.
The sector has particular concentrations in precision medicine, diagnostics, and advanced manufacturing. Queen’s University Belfast and Ulster University both rank among the UK’s top institutions for bioscience research, with over 73% of their research rated world-leading or internationally excellent.
What the partners say
Economy Minister Dr Caoimhe Archibald said:
“This £11.7million investment will strengthen our pharmaceutical sector by helping turn innovative ideas into commercially viable products. By giving businesses access to specialist expertise and facilities, iPHARMA will help overcome barriers to scale-up, accelerate new products towards market and unlock further opportunities for investment and growth. As the first project announced through the Belfast-Derry Innovation Corridor’s Local Innovation Partnerships Fund allocation, it will build on our strengths in life and health sciences, boost productivity and support the creation of more good jobs.”
UKRI Chief Executive Professor Sir Ian Chapman said:
“This is an important and significant investment in Northern Ireland’s innovation ecosystem. Working with key partners in each place, UKRI’s Local Innovation Partnerships Fund is supporting innovation across the UK, to advance knowledge, improve lives and drive growth, by building on local strengths and knowledge. The opportunities iPHARMA will unlock will enable research translation, collaborations with industry and drive economic growth.”
Professor Gavin Andrews, Head of the School of Pharmacy at Queen’s University Belfast and iPHARMA Lead, said:
“Northern Ireland has internationally recognised strengths in pharmaceutical science, advanced manufacturing and health innovation. Our ambition must be to translate those strengths more consistently into commercial success: creating more high-value jobs, attracting investment, growing exports and improving outcomes for patients. iPHARMA will provide specialist facilities, expertise and translational support needed to develop, scale and manufacture innovative medicines. In doing so, it will reduce technical risk, shorten routes to market and help close the productivity gap by enabling businesses to capture more value from innovation here in Northern Ireland. This investment is a clear statement of intent. It supports our ambition to build a globally competitive, innovation-led life and health sciences sector, one that is a driver of sustainable economic growth across Northern Ireland and makes a meaningful contribution to the UK’s wider life sciences ambition.”
Professor Chris McConville, Professor of Biomedical Innovation at Ulster University and Deputy Lead for iPHARMA, said:
“iPHARMA brings together complementary expertise across Ulster University and Queen’s University Belfast to create an integrated pathway for pharmaceutical innovation in Northern Ireland. By combining advanced formulation and manufacturing with digital technologies, translational pharmaceutics, pharmacology and clinical translation, we can help companies de-risk manufacturing and development, make better decisions earlier and move promising medicines towards patients more efficiently. Ultimately, our ambition is to shorten the journey from promising pharmaceutical innovation to the clinic, while building the capability, skills and industry partnerships needed to establish Northern Ireland as a leading location for the development of innovative medicines.”
Questions that warrant clarification
Several important details are not yet clear from the announcement. No specific timeline has been provided for when iPHARMA will become fully operational or when businesses can begin accessing its facilities—though according to the Department for the Economy, LIPF projects in Northern Ireland are expected to begin delivery “later in 2026,” subject to UKRI approval. The funding split between Queen’s and Ulster University has not been disclosed, nor have details of what specific equipment and facilities will be purchased.
Perhaps most notably, the announcement does not estimate how many jobs iPHARMA might create directly, how many companies it aims to support, or what targets have been set for new products brought to market. These metrics would help assess whether the £11.7 million investment delivers value for money.
The relationship between this UKRI funding and the Minister’s Economic Vision warrants clarification on how success will be measured against its goals of raising productivity, creating “good jobs,” and achieving regional balance.
Broader context and considerations
The investment arrives as Northern Ireland’s pharmaceutical sector operates within an island-wide context where the Republic of Ireland’s pharmaceutical exports reached €139 billion in 2025, while Northern Ireland leverages its unique dual market access to both GB and EU markets.
The LIPF model represents a shift in UK innovation policy, giving regions greater control over how research funding is directed. However, this also places responsibility on local partnerships to demonstrate results. The triple helix approach—bringing together universities, business and civic institutions—has proven effective elsewhere, but requires sustained collaboration and clear accountability mechanisms.
Questions for stakeholders
- When will iPHARMA become operational, and what milestones will mark its progress?
- How will the £11.7 million be divided between capital equipment, running costs, and direct support for businesses?
- What specific targets have been set for companies supported, jobs created, and products commercialised?
- How will success be measured, and will progress be reported publicly?
- What safeguards ensure small and medium-sized enterprises can access iPHARMA’s facilities, rather than resources being captured by larger, established firms?
What to watch
Further details of iPHARMA’s operational timeline and access arrangements are expected in coming months. The broader Northern Ireland LIPF portfolio, currently under assessment by UKRI, may reveal additional projects. Meanwhile, the project’s alignment with the Minister’s Economic Vision priorities—particularly regional balance between Belfast and Derry-Londonderry—will warrant monitoring as implementation proceeds.
Businesses interested in accessing LIPF support can contact the Department for the Economy’s LIPF team at innovationfunding@economy-ni.gov.uk or consult UKRI’s LIPF guidance. The original announcement is available from the Department for the Economy.