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Deep tech chemistry ventures use chemistry as the core of their intellectual property and scientific advancement. These ventures have the power to create significant social, environmental and economic impact. But they depend on significant research and development work to achieve the potential of their technologies.

However, many of these companies are stuck, because they don’t have access to suitable labs in which to carry out research or scale-up of their cutting-edge technologies. With no laboratory, there’s no technology research, and ultimately no impact.

Our new report, entitled Unlocking innovation: A systems approach to addressing the shortage of chemistry labs for startups, addresses this challenge from a range of angles, exploring the deep-rooted reasons this issue has persisted for decades and asks how property developers, policymakers, and chemistry advocates each have a role to play in tackling the problem.

How have we approached this problem?

Complex and enduring problems – like a lack of access to chemistry labs – require an approach that identifies the root causes and where best to intervene to deliver lasting change. 

We convened a diverse network of stakeholders to gather insight and understanding, then distilled this down into a system map showing the key dynamics at play and how they are all interconnected. Finally, we identified eight ‘Windows of Opportunity’ for long-term change in the access to chemistry labs system.

Why don’t we have more chemistry labs?

We’ve identified five key dynamics driving this lack of lab space.

1. Lack of investment

Development of lab space requires investment – and we tend to see significantly less in space that is suitable for deep tech chemistry ventures.

Chemistry labs are expensive to both build and operate. This is a result of specific and complex space requirements (such as more robust air handling requirements, or higher spec’d wet lab areas), a high cost of materials, and the need for high-spec equipment that requires specialist knowledge to operate. We’re also lacking robust data on the demand for these spaces, contributing to limited investor confidence.

2. Complex planning environment

Chemistry lab space sits within a complex planning landscape. Air handling and net zero requirements introduce barriers to the planning application process, and some face local challenges around resources such as water and power. This is exacerbated by the lack of planners available to deal with science applications, which can create bottlenecks in high demand areas. Coupled with the weaker value case for chemistry lab space, developers are more likely to favour office or residential space, or more flexible laboratories.

3. Chemistry specific requirements

The application of deep tech chemistry is diverse, and technologies do not sit solely in one sector. This generates a perception that there is no obvious critical mass of ventures with similar chemistry lab requirements. It also gives rise to a concern that space will be less flexible and unsuitable for other tenants once a venture moves. This means less lab space has chemistry designed in from the start and in many instances is not developed at all.

4. Strategic narratives

Deep tech chemistry can be found in diverse applications and has the ability to address a variety of problems. Often the underpinning nature of the deep tech technology renders chemistry invisible in the final product or solution. This lack of tangible presence leads to the need for chemistry lab space getting missed in the national priority agendas. The effects of this are seen in limited government intervention in a lack of supportive policies and incentives to encourage investment into chemistry lab space. Specific demand and requirements mapping could boost confidence in the sector as a viable investment opportunity.

5. The postcode lottery

For access to chemistry labs, it really matters where you are. The geographical location of a deep tech chemistry venture has a direct impact on the availability of investment, access to talent, and affordability of lab space.

Ventures located in an established scientific cluster – such as the Golden Triangle (London, Oxford, Cambridge) – are in a much more favourable environment for spinning out.

More investment flows here and there’s a larger talent pool, thanks to strong anchor institutions or universities. However, this comes at a cost – to ventures, developers and the region itself. Waiting lists are lengthy, cost per square foot is high and well-connected space is limited.

In Cambridge, there are challenges around availability of water. As clusters grow, and demand for urban space rises, access to resources will become even more critical. In areas with less established clusters and supporting infrastructure, there is a more uneven spread of lab space.

Lab space may be cheaper, but the trade-off for ventures is less potential for raising significant investment, a smaller talent pool, and still, this space is unlikely to be designed with chemistry in mind from the start.

Any solution to the lack of lab space will need to take geographical factors into account – a UK-wide, one-size fits all approach will not be sufficient.

So what's the solution?

Solving this problem will involve a concerted effort across sectors. The report identifies eight “windows of opportunity” for creating change.

We must build a supportive landscape, which will entail planning reform, supportive policy, changing narratives, and addressing regional inequalities. At the same time we must make the case for more chemistry labs by mapping the demand, and building the value case for investment. This all leads to unlocking chemistry labs that work, which is about innovating to create labs that are fit for purpose and ensuring that investment flows into these spaces.  

Read the report to explore case studies, and learn more about the key dynamics and the windows of opportunity: rsc.li/unlocking-innovation

What happens next?

We are launching a new initiative – More ChemLabs – to catalyse change in the system affecting access to chemistry labs.

We need people who are innovating in the delivery of lab space that works for deep tech chemistry, unlocking investment into these spaces or are passionate about supporting the development of deep tech chemistry technologies and can drive action in any of the focus areas.

For information on how to get involved, visit: rsc.li/morechemlabs

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What is deep tech chemistry?

First used in our Igniting Innovation report, when we refer to “deep tech chemistry” we are referring to a subset of deep tech businesses that are using chemistry as the core of their intellectual property and scientific advancement.