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Business Enterprise Research and Development in Scotland 2002
5 Experimental Development / Defence
Experimental Development
5.1 In Scotland in 2002 one third of current R&D expenditure was used for experimental development, in the UK 52%. The gap between Scotland and the UK has narrowed since the previous year (when the share of experimental development spending in Scotland was historically very low): in 1999 and 2000 roughly half of all Scottish BERD supported experimental development.
5.2 In 2002 some projects in electrical machinery and mechanical engineering seemed to have matured into the experimental development phase. Following a sharp rise in Scottish R&D expenditure in pharmaceuticals few of these projects appear to have reached the experimental development phase. Clinical trials will generally be counted as experimental development. Trials undertaken by an NHS hospital but paid for by a pharmaceutical company would not be included here as the work is undertaken by a government establishment. However if a pharmaceutical company carries out its R&D within a hospital but actually performs the work itself, then it would be included here.
5.3 In general, projects undertaken in Scotland seem to be younger. In addition, Scotland probably tends to be chosen as a location for projects that will benefit from the science base at universities rather than local manufacturing capacity. Table 17 shows a comparison of experimental development expenditure for Scotland and the UK.
Table 17: Experimental Development Expenditure on Selected Products: 2002
| Percentage of Current Expenditure on Experimental Development |
Selected Product Group | Scotland | UK |
Total | 34% | 52% |
Chemicals ( incl Pharmaceuticals) | 19% | 49% |
Mechanical Engineering | 82% | 51% |
Electrical Machinery (including computers and communications equipment) | 50% | 60% |
Transport Equipment & Aerospace | 81% | 66% |
Services | 33% | 54% |
Source: ONS/SE analysis Table 3
Civil and Defence R&D Expenditure
5.4 The percentage of Scottish R&D used for civilian purposes has increased from around 80% in 1999 to 95% in 2002. In the UK, this figure has moved around a value of 85%, reaching 87% in 2002. The number of jobs in Scottish defence R&D is now less than 500.
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