NIHR IO
£22 million to strengthen UK health and life sciences innovation
Published on: 2 September 2025
Newcastle University has been awarded £22M by the National Institute for Health and Care Research to continue research identifying emerging medicines, diagnostics, devices and digital technologies.
These have the potential to transform care, reduce inequalities and support a more responsive and resilient system.
This five-year award underpins the work of the world-leading NIHR Innovation Observatory, which provides strategic insights and intelligence to inform national health and social care policy, guide investment decisions, and accelerate the adoption of new technologies.
The award begins in April 2026 and builds on nearly a decade of NIHR funding that has underpinned pioneering work at Newcastle, this new phase continues to empower researchers, industry leaders, policy makers, and health and care professionals to identify and harness technologies that can transform population health and revolutionise care delivery.
The new award will allow the Innovation Observatory to expand its methods, strengthen its technical infrastructure, and further develop foresight outputs. The funding award reinforces the UK government’s long-term commitment to horizon scanning as a vital tool in planning for the future of health and social care.
It will allow the NIHR Innovation Observatory to work closely with key government departments including the Department of Health and Social Care, and Department for Science, Innovation and Technology, as well as national and regional stakeholders, charities, SME's, and potential inward investors across the health and life sciences sector.
Professor Dawn Craig, Director of the NIHR Innovation Observatory, said: “We are delighted to have been successful in this competitive funding award. The award will further enhance our ability to turn data into rapid, actionable insights - driving smarter decisions, faster innovation adoption, and deeper collaboration with industry and national partners.
“By strengthening our analytical capabilities and fostering cross-sector partnerships, we are not only looking to improve care but also to play a role in positioning the UK as a global leader in health tech and innovation-driven growth.”

Early insights
The Innovation Observatory plays a crucial role in strengthening the UK’s health system by delivering early insights into emerging health and life sciences innovation. This intelligence enables policy makers, regulators, charities and industry to act early – taking a proactive approach to aligning policy, investment, planning and regulations that create the right environment for health and care innovation to thrive.
This not only improves patient health and care but also enables the UK’s health system to maintain its global position as a leader in life sciences, driving competitiveness, inward investment and economic growth.
With the new funding, the Innovation Observatory will:
- Further advance world leading horizon scanning methods and tools that help turn data into actionable insights to inform decision making and competitive advantage.
- Build capacity and capability in horizon scanning, ensuring insights are understood and applied across the ecosystem – from NHS clinicians, policy makers and industry innovators.
- Expand cross-sector international collaboration through nurturing collaborative partnerships that bring together partners from across the health and care ecosystem.
- Support SMEs, charities and investors by providing timely access to data and intelligence on the UK innovation landscape, smoothing the path to market and maximising patient impact.
The Observatory’s current work spans a wide range of transformative technologies and national priorities, including:
- Quantum sensing, AI, bio-engineering and wearable tech
- Child HealthTech devices that improve access and affordability
- Rapid genomics point-of-care testing for faster, more accurate diagnoses
- Antimicrobial resistance (AMR) monitoring
- Bio-engineering advances such as 3D printing for organ regeneration
- Wearable devices to support remote monitoring and rehabilitation
More information and resources are available on the NIHR Innovation Observatory website.