20 April 2010
SFC funding drives university and business collaboration for economic growth

Michael Russell, Cabinet Secretary for Education and Lifelong Learning, will announce later today (Tuesday) a major new investment in Scotland's future economic growth.

Visits to the universities of Dundee and Abertay will mark the launch of a £8.1 million programme that involves universities and businesses working together in a series of innovative knowledge exchange projects aimed at key sectors of the Scottish economy.

The programme has been developed and funded by the Scottish Further and Higher Education Funding Council (SFC). The investment is to be divided among ten projects, each involving different university collaborations. They will share their knowledge and expertise with businesses to help address a number of crucial areas such as problem solving, efficiency improvements, capacity for research and development, and skills needs.

The cash, from SFC's Horizon Fund, will support a variety of projects across five key economic industry sectors:

• life sciences - BioSKAPE led by the University of Aberdeen for the Scottish Universities Life Sciences Alliance (SULSA) research pool (£1.26 million), INSPIRE led by the University of Dundee for the Scottish Universities Physics Alliance (SUPA) research pool (£1 million), Translational imaging led by the University of Edinburgh for the Scottish Imaging Network, A Platform for Scientific Excellence (SINAPSE) research pool (£1.12 million);
• creative industries - Moving targets: new models for new media audiences in the creative media industries, led by the University of Abertay (£1.1 million);
• energy - Crystallisation science excellence for manufacturing technologies, led by the University of Glasgow (£709,900), Mathematical methods to support the integration of renewables into the electricity network, led by Heriot-Watt University (£64,671), Low Carbon Housing led by Edinburgh Napier University (£465,513), the Scottish Energy Research Academy led by the University of Strathclyde on behalf of the Energy Technology Partnership (ETP) (£1.2 million);
• financial and business services - the Scottish Financial Risk Academy led by Heriot-Watt University (£335,255); and
• food and drink - PARABAN led by the Scottish Agricultural College (£808,250).

Scotland has been identified as one of the top five emerging locations in the world for life sciences, with the industry worth £3 billion a year to the Scottish economy and employs an estimated 32,500 staff. However, companies have highlighted problems in recruiting graduates with the practical knowledge necessary to work in what is a highly regulated industry.

SFC's financial support over three years will allow for a variety of activities, including the creation of postgraduate student places, industry studentships, joint research activity and seminars, and staff exchange programmes between business and academia.

Michael Russell, Cabinet Secretary for Education and Lifelong Learning, said: "The considerable economic benefits of the impressive projects that will benefit from this funding are beyond doubt. Students benefit from industry expertise and knowledge, informing their research and development, while industry staff will be able to develop their skills no matter what stage their career is at.

"Our universities have an important role to play in helping us emerge strongly from the current economic downturn. As well as ensuring our people have the skills they need as individuals and to grow our economy, they are also businesses in their own right, generating around £2 billion a year. They support research and development in the business community and attract young people to live and work in Scotland.

"However, universities can only do this if they know what the wider economy needs. These demand-led knowledge exchange grants do precisely that and I'm particularly pleased they are focussed on some of Scotland's key industries, including life science, energy, finance and business."

Commenting on the project funding, Mark Batho, Chief Executive of SFC said: "The Universities and their industry partners have presented us with innovative projects that respond to issues faced by industry. This is a good illustration of how knowledge exchange can play a major part in Scotland's future economic prosperity and of the impact that the Funding Council's Horizon Fund can have in bringing about change. In recent years we have placed an emphasis on the need for projects funded through our strategic investments to have economic impact. This is even more prevalent given the financial climate we find ourselves in now. These projects are an excellent opportunity for universities to drive forward progress in key sectors of the Scottish economy and get the country on track to economic recovery and success."