AstraZeneca Pauses £200M Expansion In Cambridge

Pharmaceutical giant AstraZeneca has put plans to expand its flagship research site in Cambridge on hold, marking another setback for the UK’s ambition to attract large-scale life sciences investment.

The company confirmed the pause on Friday, saying it “constantly reassesses the investment needs of our company,” but declined to provide further details or a new timeline for the project.

The announcement follows February’s decision to scrap a £450m manufacturing facility in Speke, Merseyside. At the time, chief executive Pascal Soriot said the vaccine plant was “not economically viable,” though he denied tensions with the government over the decision. The move reversed a pledge made in the 2023 Budget by then chancellor Jeremy Hunt to expand AstraZeneca’s UK footprint.

The pause comes as AstraZeneca shifts focus to the United States, where it recently unveiled a $50bn (£37bn) five-year investment plan. That package includes a state-of-the-art manufacturing facility in Virginia – its largest ever single-site investment – and significant expansion of R&D and cell therapy production across Maryland, Massachusetts, California, Indiana and Texas.

Analysts say the changes highlight the growing pressure on the UK to remain competitive in attracting pharmaceutical and biotech investment, particularly as US subsidies and tax incentives lure global firms. Trade tensions with Washington, alongside higher UK tax burdens and regulatory uncertainty, are weighing on boardroom decisions.

Industry leaders have warned that without consistent long-term policy support, Britain risks losing its status as a global life sciences hub. The sector has already faced supply chain challenges, rising energy costs and talent shortages since Brexit.

The pause is also a blow to Cambridge, home to AstraZeneca’s £1bn global headquarters and a major cluster of biotech firms. The city has long been a symbol of the UK’s scientific strengths, but its ability to secure further expansion from one of its anchor employers is now in question.

AstraZeneca has not ruled out restarting the project in future but has given no timetable for a decision.