Empowering Small Businesses with £100 Million Innovation Hub

By Anushka Malhotra

1 minute 35 seconds

Investment

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Quick Read: A £100 million investment in the Innovation Accelerator program establishes an innovation hub at University College Birmingham, aiming to empower small businesses in the West Midlands. Focused on Industry 4.0 and sustainability, the hub offers tailored support, apprenticeships, and cyber security services, signaling a strategic move to fortify regional businesses against evolving challenges and foster digital resilience.

In a transformative move for regional businesses, the Innovation Accelerator program has allocated £100 million to establish an innovation hub at University College Birmingham. Primed to assist manufacturing and construction enterprises in embracing cutting-edge technologies, the hub, centered on Industry 4.0, forms a vital component of the West Midlands' growth strategy.

The Innovation Accelerator program, funded by UK Research and Innovation (UKRI) and operational until 2025, seeks to address a critical industry priority—empowering smaller, high-need businesses with digital tools to enhance their operations. At the core of this initiative is the commitment to foster Industry 4.0 adoption, considered the Fourth Industrial Revolution, emphasizing the integration of artificial intelligence into production line automation.

The Innovation Hubs, part of this ambitious program, extend beyond conventional offerings, intending to bridge the gap for businesses grappling with Industry 4.0 technology adoption. Tailored apprenticeships, bootcamps, and bespoke training will be developed in collaboration with employers, building on the existing foundation of business engagement between colleges and employers.

A critical focus of the Innovation Hub at University College Birmingham is sustainability, reflecting the region's commitment to environmentally conscious business practices. With a dedicated Centre for Sustainable Construction, the University aims to guide businesses in leveraging advanced tools to address sustainability challenges.

Moreover, in the face of an escalating threat landscape, the hub will provide essential support against cyber-attacks. Recognizing the urgency for businesses to fortify their cyber defenses, the Innovation Hub will offer services focused on cyber security preparation and identifying training needs.

Rosa Wells, FE Principal and Dean of STEM, expressed enthusiasm about the project, highlighting the evolving role of Further Education Colleges within the innovation ecosystem. The initiative not only positions these colleges as education providers but also recognizes their potential as integral components of the broader innovation landscape.

The pilot's success will be gauged by the adoption of services and support offered by the Innovation Hubs, with a focus on businesses integrating the available technologies. The Collaborative College group will actively seek feedback from businesses, ensuring continued support beyond the project's duration through consultation with and support from the West Midlands Combined Authority (WMCA).

This ambitious project signals a collaborative effort to catalyze innovation, showcasing the pivotal role of education institutions in driving economic transformation and fostering digital resilience in businesses.

What's new

West Midlands Health Tech Innovation Accelerator Unlocks Nearly £50M in Private Investment

The West Midlands Health Tech Innovation Accelerator (WMHTIA), led by the University of Birmingham, has generated an impressive £49.4 million in private co-investment within its first two years, significantly surpassing its original £14.5 million public funding allocation.

Funded through the Innovation Accelerator programme, coordinated by Innovate UK, the Department for Science, Innovation and Technology, and UK Research and Innovation, WMHTIA has become a leading force in advancing health technology innovation across the region.

The majority of the private investment—£36.3 million—was directly committed by investors to enterprises supported by the Accelerator. This achievement represents a threefold return on the initial public investment, demonstrating the strong investor confidence in the region’s health tech sector.

Powering Health Innovation Through Collaboration

The WMHTIA brings together 21 partners from academia, industry, and the NHS to help healthtech companies develop, validate, and commercialise cutting-edge medical technologies. So far, companies supported through the programme have also secured an additional £10 million in national public grants from agencies including NIHR, Eureka, and Innovate UK.

Including both public and private contributions, the total investment leveraged by WMHTIA now stands at £67.3 million.

Professor Adam Tickell, Vice-Chancellor, University of Birmingham:

We’re proud to support startups through the riskiest stages of innovation so more life-saving technologies reach patients. This exceptional investment proves what’s possible when academia, the NHS, and industry work together to drive economic growth and better health outcomes.

In March 2025, the Innovation Accelerator programme was extended with a further £30 million, including £4 million for the WMHTIA to continue supporting the region’s innovators in 2025/26.

Backing the Future of Health Tech

Richard Parker, Mayor of the West Midlands:

The West Midlands is leading medical tech innovation—from faster diagnoses to shorter hospital stays. Healthtech isn’t just improving lives; it’s creating secure, high-value jobs that drive inclusive growth.

Dean Cook, Executive Director of Place and Global, Innovate UK:

This programme shows how place-based innovation can unlock greater business investment in R&D. By connecting the region’s strengths, we’re creating high-value jobs and building globally significant innovation capability.

The WMHTIA continues to strengthen the region’s reputation as a national hub for health technology, with far-reaching benefits for patient care, job creation, and regional economic development.

By Anushka Malhotra

24 Jun