The Government's Economic Strategy highlighted the key contribution that innovation can make to delivering sustainable economic growth through improvements to productivity and the creation of new products and processes. Research and innovation are just as vital during a period of economic downturn.
The Scottish Government, and its agencies, will work in partnership with business to enable it to become more demanding and intelligent customers of innovation support. In response to the downturn, businesses have been supported through an integrated business innovation service through the enterprise agencies. The following are examples of the support which is being provided.
- Highlighting the opportunities and value of innovation. Over 750 delegates have attended Scottish Enterprise's 'Winning Through Innovation' events which has led to an increased use of innovation services.
- Increasing incentives for business to use and pursue innovation. In the last year, Scottish Enterprise's R&D grant programme has levered in over £100 million of private sector investment into research projects. The £10 million Saltire Prize has been launched to provide the largest innovation prize for marine renewables.
Research and innovation are also vital to the emerging industries of the future. These are the industries which will be major contributors to strengthening Scotland's international comparative advantage and improving its productivity performance. The Scottish Government is supporting the future industries through, for example:
- Establishing a Scottish Investment Bank. Initially it will have funds of £150 million to support innovative high-growth potential businesses. The Scottish Government is investigating how the bank can be developed through finance from Europe and other parts of the public sector.
- Working with the private sector to increase the competitiveness of our key sectors. Industry Advisory Boards for all key sectors are being established to bring forward action plans to develop competitiveness.