London has cemented its position as Europe’s powerhouse for life sciences, attracting $2.1bn in venture capital (VC) investment so far in 2025. This is more than 1.6 times the amount raised in 2024 ($1.3bn) and over triple the amount raised by Paris ($679m) last year.
The data, released by Dealroom ahead of the major life sciences and biotech gathering London Life Sciences Week in November, shows that London-based life sciences companies raised more than those in Paris, Stockholm and Berlin combined. On the global stage, London stands as the top city outside the US, attracting more investment so far in 2025 than Shanghai ($880m), Tokyo ($308m), and Singapore ($325m) combined.
Dealroom’s data has been analysed by London & Partners, the growth agency for the UK capital and one of the organisers of London Life Sciences Week – a week-long gathering in the UK capital, bringing together leading life sciences and biotech companies, investors and entrepreneurs from around the world to shape the future of life sciences.
London Life Sciences Week received £500k from the Mayor of London and UK government through the UK Shared Prosperity Fund.
A major contributor to the UK economy
According to PwC, the UK’s life sciences sector contributed around $43bn in Gross Value Added to the economy in 2021. London’s life sciences companies are a key driver of sector growth in the UK, generating over £34bn in turnover in 2023/2024, second only to the neighbouring South East with £39.4bn.
London is home to more than 2,700 life sciences companies, three of the world’s top 15 universities for health and clinical science, and 19 of the top 20 global pharmaceutical companies (MedCity), which form an ecosystem of innovation and intellectual property generation that drives commercial growth.
The UK is home to four of the world’s top ten universities and life sciences are central to the government’s economic renewal and mission to build a fairer, healthier UK. In September 2025, the government launched a £50m fund to boost research and development investment across the country.
This surge in investment is powered by innovation in AI. Companies leveraging AI have secured more than half ($1.1bn) of the investment raised in life sciences so far in 2025, marking a 97% increase over last year. Big tech firms like Microsoft, NVIDIA, Google and OpenAI have announced multi-billion-dollar investments in the UK and 2025’s trend supports growing confidence in London’s ability to deploy AI to scientific discovery and therapeutic development.
From the Francis Crick Institute and the Alan Turing Institute to global tech giants like Google, London is leveraging its strengths in research and technology. The city leads the way in using AI to transform life sciences and biotechnology, accelerating drug discovery, advancing precision medicine, and improving diagnostics and patient outcomes.
Few cities can rival London’s legacy of scientific discovery. It is the city where cells were first identified, penicillin was discovered, and the first in human gene editing was carried out. Today, London is home to seven growing life sciences districts and clusters, including the ‘Knowledge Quarter’ – a one-mile radius around King’s Cross Station that brings together over 100 cultural, research, scientific, business, and academic institutions.
The Mayor of London, Sadiq Khan, said: “Our city is home to over 2,700 life sciences companies and 19 of the top 20 global pharmaceutical companies. There is no doubt London is a front runner to become the new world capital of life sciences and innovation globally as we work together to build a better, more prosperous city for everyone.”
A global gathering
London Life Sciences Week, anchored by the Jefferies Banking Healthcare Conference, provides a unique opportunity for investors to engage with London’s most promising life sciences companies and gain insights into the city’s innovation ecosystem.
Attendees connected directly with companies through partnering ONE, a free networking platform launched in collaboration with LSX/Informa. International and UK funds also had the opportunity to explore the benefits of the UK’s investment landscape at the International Investor Summit.
Jane Wall, Managing Director at the UK BioIndustry Association (BIA), co-organisers of London Life Sciences Week, said: “London Life Sciences Week provides an exceptional platform for international investors, entrepreneurs and industry leaders to connect, collaborate and forge global partnerships. Alongside the Jefferies Healthcare conference, the International Investor Summit at Victoria House, and over 70 events, it underscores the UK’s position as a world-leading destination for life sciences investment.”
Dr. Anne Lane, CEO of UCL Business, the commercialisation company for UCL, said: “London is fizzing with life science innovation, from AI-powered diagnostics to gene therapy and break-through cell treatments.
“It’s a life science powerhouse because we have world-class research, leading hospitals, cutting-edge laboratories, specialist investors, and global industry side-by-side in a diverse and vibrant city. The impact ripples across the nation, creating jobs and saving lives.
“But the magic happens when we bring everyone together, and that’s what we are doing at London Life Science Week. In the last five years, companies formed from UCL research have raised billions and created thousands of jobs.”
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