AstraZeneca ditches £450m investment in UK plant

Published On Jan 31, 2025, 10:39 AM

AstraZeneca has halted a £450 million expansion of its vaccine manufacturing plant in Merseyside, citing reduced government support as a key reason. The decision follows unsuccessful negotiations between the new Labour government and the company regarding the terms of government grants, which had been improved by the previous Conservative administration. Despite the suspension of the investment, AstraZeneca assured that it would continue producing flu vaccines at its Speke site without affecting current jobs. This decision comes at a time when the UK government is facing pressure to stimulate economic growth, but businesses are concerned about rising costs from tax increases and regulatory changes.