AstraZeneca Invests £11 Billion in China After Shunning UK
AstraZeneca, the prominent pharmaceutical company, has declared an investment of £11 billion in China. This decision follows a recent shift away from the UK, where the firm had previously announced cutbacks on local investments.
AstraZeneca’s Shift in Investment Strategy
In September, AstraZeneca canceled plans for a £200 million expansion at its research hub in Cambridge. Additionally, it postponed a £450 million upgrade of its vaccine plant in Liverpool. The company cited concerns over the NHS pricing for medications as a significant factor in this decision.
Impact on UK Job Market
These investment cuts were anticipated to generate 1,000 jobs within the UK. However, the redirection of funds to China will now bolster AstraZeneca’s workforce there to over 20,000 employees.
Responses from Political Figures
- Keir Starmer, leader of the Labour Party, emphasized that AstraZeneca’s growth in China could benefit the UK economy by maintaining job growth.
- Shadow Business Secretary Andrew Griffith expressed concern, stating, “Astra’s a great British company but under this government, it’s investing everywhere in the world other than its UK home.”
Griffith further noted that the shift in investment to China should raise alarm in London, especially amid growing concerns about losing local investments.
Conclusion
AstraZeneca’s £11 billion investment in China highlights a significant shift in its business strategy, raising questions about the future of pharmaceutical manufacturing in the UK. As the company pursues growth opportunities abroad, the implications for the British job market and industry remain substantial.
