AstraZeneca Cancels £450M Vaccine Plant Investment

AstraZeneca has cancelled its planned £450 million investment in a vaccine manufacturing plant in Liverpool, citing reduced government support from the current Labour administration. The decision follows protracted negotiations with the government, during which Labour proposed a reduction in state aid from the £90 million previously offered by the Conservative government to £40 million. This investment was initially announced by then-Chancellor Jeremy Hunt as a boost to the UK's life sciences sector and pandemic preparedness. The cancellation has been criticized by the Conservative party and is seen as a setback for Chancellor Rachel Reeves, who recently emphasized her economic growth plans. Despite the withdrawal, AstraZeneca's existing facility in Speke will continue operations without job losses. The situation underscores the challenges facing the UK in attracting and retaining major investments in critical sectors.