The Royal Academy of Engineering's Spotlight on Spinouts 2026 is a great insight into how UK universities are commercialising research and turning innovation into high-growth companies.

Here are our top takeaways;

•Over 2k spinouts have been created since 2010 with a value of £49bn, creating 27k jobs, 70% of which have been created since 2020.

• Deep tech accounts for 90% of total spinout value proving the strength of UK engineering and science and how spinouts have a direct role in addressing society's most pressing challenges such as climate change. While photonics and quantum are top areas, probably due to historic academic ties, defence, robotics and space start-ups follow. Across the Industrial Strategy's eight growth driving sectors there are 407 VC-backed in life sciences, 293 in digital and technology and 101 in advanced manufacturing.

• Scotland and the North of England feature highly in spinout generation, while Bristol is the highest ranked institution outside of the golden triangle.

• The funding landscape has improved. 845 spinouts are VC backed and still active with 7 unicorns ($1bn+ exits and/or $100m+ revenues). Overall, 50% of VC backed spinouts have received public money. This follows recommendations from the Independent Review of University Spinouts with a £40m fund for spinout proof-of-concept having been deployed. UKRI also awarded £9m in the first tranche of funding last year to 48 high-potential projects to help them overcome the much talked about ‘value of death' when the technology shows promise but lacks commercial validation.

• Since 2020, 17% of spinouts have at least one-female founder (up from 7% in 2010-2014) this seems to have plateaued with 85% of spinouts made up of all male teams. Female founders have received their highest ever share of funding amount and number of rounds at 21% and 14% respectively. Government Initiatives such as the Invest in Women Taskforce are supporting venture capital for female-led teams.

So, two years on from the Review of University Spinouts it's good to see progress on many of the recommendations including the publication of a spinout register, POC funding continuing to rise and reforms to UK scale-up funding to incentivise entrepreneurs to stay and scale in the UK.

Yet there is still more to be done to support spinouts, and start-ups alike, across their full commercialisation journey.

Not just validation with world-leading centres like FISC but also on the provision of lab and office space and vital business support that organisations like FIVe provide, enabling successful growth and funding applications and backing.

There is also more diversification needed. Not only in supporting female entrepreneurs and founders but encouraging team diversity in every aspect. We've written before about how the most diverse companies in terms of gender, ethnic and cultural diversity outperform those of lower density.

Published: 18-06-2026