DIUS reveals top R&D spenders

The Department for Innovation, Universities and Skills has published a report into how much global companies invested in research and development spending in 2006.

Increasingly linked with design output, R&D can now be used by blue chip design operations in the UK to reclaim tax. Nissan became the first design operation to successfully apply for R&D tax credits last summer (6 August 2006).

According to DIUS, pharmaceutical companies Pfizer, Johnson & Johnson and GlaxoSmithKline topped the R&D Scoreboard, with the entire sector spending £47.4bn globally on R&D in 2006. GlaxoSmithKline is the only UK company among the 25 largest investors in R&D globally.

Technology companies Intel, Nokia, Motorola followed close behind, while Microsoft was the highest R&D spender in the software and computer services sector, spending £3.6bn last year. However, this sector has scaled back its investment in R&D by 6.5 per cent over the past four years.

Toyota and Samsung were the biggest R&D spenders among non-US and non-European companies, investing £3.5bn and £3.1bn respectively last year.

The study draws no direct link between R&D spend and business performance. However, UK companies investing a high percentage of sales in R&D tend to record higher stock market ratings, it says.

Latest articles

What to look out for at Design Indaba 2019

Ann Crabtree, Alice Rawsthorn, David Droga and John Pawson are among the international speakers at this year’s Design Indaba festival, which takes place next month in South Africa.