UK Government Invests £82.6 Million in AI to Transform Cancer Care and Drug Discovery

The UK government has announced an £82.6 million investment in artificial intelligence (AI) research, aiming to revolutionize cancer care and accelerate drug discovery. The funding, unveiled on February 11th, 2025, is part of a broader initiative to position the UK as a leader in AI-powered healthcare solutions.

This investment is divided between £37.9 million in government funding and £44.7 million in co-investments from other sources. The Research Ventures Catalyst (RVC) programme will distribute the funding to three major projects that focus on AI-driven medical advancements. Two of these projects will specifically target cancer and Alzheimer's research, using AI to enhance diagnostics and treatment options.

PharosAI

PharosAI, one of the funded projects, is set to receive £18.9 million from the government and £24.7 million in co-investment. Led by King’s College London, in collaboration with Queen Mary University of London, Guy’s and St Thomas’ NHS Foundation Trust, and Barts Health NHS Trust, PharosAI will integrate NHS and Biobank data into a single, secure AI platform. This initiative aims to develop next-generation AI models capable of faster cancer diagnoses and more targeted treatments.

Professor Anita Grigoriadis, CEO of PharosAI, emphasized the project’s potential, stating: “AI has the potential to revolutionise cancer care. The UK has a real opportunity to be a major innovator, leading to faster diagnosis, novel and more targeted cancer treatments, and better-informed healthcare for patients.”

Bind Research

Another project, Bind Research, will receive £12.9 million from the government, matched by £12.9 million in co-investment. This initiative focuses on using AI to make previously ‘undruggable’ proteins treatable, potentially unlocking new treatments for diseases once considered incurable. Dr Gabi Heller, co-founder of Bind Research, highlighted the impact of the funding, saying: “The Research Ventures Catalyst Programme has been a game changer for Bind Research.”

The EuroHPC Initiative

The government is also committing £7.8 million to support UK researchers and businesses in the European High-Performance Computing (EuroHPC) initiative. This funding will provide access to advanced computing resources, enabling British scientists to collaborate with European partners on groundbreaking research.

Health Secretary Wes Streeting, who has personally benefited from NHS innovation, stressed AI’s role in improving patient care: “This new funding is another step to unlock the enormous potential of AI for cancer research and drug discovery - ensuring more patients like me experience the highest quality care. AI will help us speed up diagnoses, cut waiting times for patients and free up staff, as we deliver our Plan for Change and shift the NHS from analogue to digital.”

Science and Technology Secretary Peter Kyle reinforced the government’s AI ambitions, stating: “We’ve already set out a bold new blueprint for AI which will help to spark a decade of national renewal, and key to that plan is supporting our expert researchers and businesses with the support they need to drive forward their game-changing innovations. Today, we open new avenues for them to do exactly that - building bridges with our international partners so the entire global community can share in the boundless opportunities of AI-powered progress and backing new innovative companies applying AI to tackle real-world challenges.”

This funding follows the AI Action Plan, launched in January 2025, which aims to establish the UK as a global AI superpower. However, not all AI companies have benefited. Behold.ai, a UK-based firm, recently entered administration after failing to secure government contracts. Its CEO, Simon Rasalingham, has since called for an inquiry, arguing that taxpayer money is being used to compete against British AI firms.

Despite these concerns, the government remains committed to harnessing AI’s potential in healthcare. With flexible funding models and international collaborations, these initiatives could reshape the future of medical research and patient care in the UK and beyond.

See the government press release here: https://www.gov.uk/government/news/uk-backed-ai-companies-to-transform-british-cancer-care-and-spark-new-drug-breakthroughs