GSK to cut jobs as part of £1.9bn cost-cutting plan and investment in Cambridge
British drugmaker GSK announced major job cuts under a £1.9bn cost-saving program, while investing £400m in UK life sciences, including a new R&D centre in Cambridge to accelerate drug development.
GSK has announced sweeping job cuts as part of a £1.9bn cost-cutting programme designed to fund a £400m investment in UK life sciences over the next three years. The investment includes a new research and development centre in Cambridge aimed at speeding up drug development under the company's new chief executive.
The pharmaceutical company said on Tuesday it would move more than 1,000 of its scientists to the new site on the Cambridge biomedical campus. It will close its R&D site in Stevenage, Hertfordshire, by 2029, while upgrading its laboratories in nearby Ware and relocating some employees there.
CEO Luke Miels stated: “This investment will accelerate our R&D and help us deliver new, competitive products. It integrates GSK further into one of the world’s leading centres of knowledge and demonstrates the attractiveness of the UK’s life sciences ecosystem.”
The new 300,000 sq ft (28,000 sq metre) Cambridge site, developed by warehouse builder Prologis, is located on one of Europe’s largest biomedical campuses. More than 22,000 life sciences professionals work there, alongside over 470 biopharma, biotech and AI companies, and the campus treats over a million patients annually.
The site will feature state-of-the-art, tech-enabled laboratories to support research in oncology, respiratory diseases, hepatology, vaccines and HIV. The move brings GSK scientists closer to the UK’s “golden triangle” of Cambridge, Oxford and London, offering access to a world-class biomedical research, patient care and academic environment.
The investment was welcomed by Andy Burnham, Mayor of Greater Manchester, and the UK prime minister, who described it as “a boost for homegrown innovation and expertise” and a step towards wider access to new medicines and cutting-edge treatments.
This announcement comes just months after rival AstraZeneca made a surprise U-turn and announced a £300m investment in the UK, including a £200m expansion in Cambridge. AstraZeneca had previously paused large-scale projects in its home country in 2025, citing concerns over the business environment, including drug pricing and NHS availability.
Miels, formerly GSK’s chief commercial officer, began a review of the company’s drug pipeline when he took over as CEO in January. GSK now plans to launch 20 phase 3 trials – double the number announced earlier this year. The company declined to disclose the total number of global redundancies, but Miels told journalists that about 45% of planned savings would come from cutting support services, improving procurement and simplifying processes, while 40% would come from shifting resources from established treatments to new drugs.
The closure of the Stevenage site comes just five years after GSK announced a £400m plan to expand it, aiming to build a cluster for new life sciences businesses.
