The North East’s universities are joining forces with the region’s mayor to launch a £22.5m fund, with the aim of transforming academic research into high-growth new businesses.
The North East Spinout Inspire Fund is supported by £10m investment from the North East Mayoral Strategic Authority (MSA) and a total of £12.5m from Durham, Newcastle, Northumbria, Sunderland, and Teesside universities.
The Inspire Fund will particularly support early-stage spin-out businesses, where risk is higher and funding is often harder to secure from private sector investors alone.
In its first five years, the Fund will support at least 30 spinout firms.
The Fund is part of the North East MSA £100m regional investment framework administered by The North East Fund.
North East Mayor Kim McGuinness said: “Small businesses are the beating heart of our economy and through the North East Fund we are backing the innovators and entrepreneurs with more than £100m to turn brilliant ideas into thriving companies creating thousands of new jobs as we go.
“Our five universities have joined with us in a bold move to ensure their spinout companies can succeed for our region and that shows the rest of the country how we do business here in the North East. We’re making deals that recognise the talent on our campuses to launch new enterprises, create jobs and grow the economy.”
Professor Andy Long, vice-chancellor of Northumbria University and chair of Universities for North East England, added: “Durham, Newcastle, Northumbria, Sunderland, and Teesside universities are hotbeds of research that transforms lives. This fund will help our researchers go further and faster in converting their ideas into successful businesses, creating jobs and prosperity in our region.
“We welcome the North East MSA’s significant investment in this Fund and all five members of Universities for North East England are determined to support this agenda. We are confident this investment will attract high-quality researchers and investors to the region, with the investment leading to clear benefits for the people of our region, the local economy, and the national economy.”
