UK Innovation Districts Group’s (UK IDG) latest landmark report demonstrates the significant economic and social impact of UK innovation districts.

Commissioned by UK IDG and prepared by Urban Foresight, the report, “The power of data for Innovation Districts“, introduces a new data-dashboard combining 92 indicators to analyse performance across the three stages of the innovation cycle: design, delivery, and diffusion. The data tracks how innovation districts turn investment into impact. The full report examines the availability of localised publicly accessible data, the challenges of data collection and interpretation to measure ‘impact’, and makes recommendations on how innovation districts can collect and use data moving forward to clearly demonstrate the ‘value’ of innovation districts as vehicles for inclusive economic growth.

Developed to help overcome persistent barriers in localised public data accessibility, the dashboard provides a roadmap for evidence-based place-making.

The findings reveal that innovation districts are highly productive powerhouses that have a central role to play in delivering the UK Industrial Strategy. Despite occupying just 0.6% of their cities’ physical size, they generate 15.3% of total GVA – an economic return more than twenty times their footprint. Furthermore, UK innovation districts are 16% more productive than their surrounding cities, translating into a 24% higher return on investment compared to other sector-agnostic developments. They also act as critical R&D magnets, hosting 143% more jobs per resident and securing nearly a third of all municipal Innovate UK funding, with an average grant size 80% larger than elsewhere in their cities.

The power of data for Innovation Districts

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Emma Frost, Chair of the UK Innovation Districts Group, said: “This data shows that innovation districts are powerful catalyst sites, helping to transform the fortunes of UK urban economies. By capturing these insights, and developing a roadmap for data collection and data exploration, we are supporting place-based leaders across the UK to build their business case, design their places, and attract investment for maximum return.

“With a 24% higher return on investment and a demonstrable 16% uplift in productivity, investing in targeted innovation districts is a proven path to regional growth. Moving forward, establishing shared local data standards will be vital to unlock their full potential and shape long-term UK economic policy.”

Eamon Banerjee, Consultant for Urban Foresight, said: “Innovation districts are increasingly recognised as catalysts for economic growth, but understanding their true impact requires looking beyond headline economic indicators.

“Through this analysis, we found that the most meaningful impacts of innovation districts are often not captured by conventional measures alone. This new framework provides a more complete picture of how investment is translated into innovation, business activity and wider place-based outcomes. The framework is designed to help places access funding support, understand what makes their places work, and make more informed strategic decisions.”

The report delivers benchmark data to all UK IDG Members and makes recommendations for UK innovation districts and knowledge quarters to build robust local data partnerships and internal analytical capacity. This will enable onward measurement of broader socio-economic outcomes and support place leaders to collaborate on highly productive, inclusive urban renewal.

The UK Innovation Districts Group (UK IDG) is delighted to welcome Sheffield Innovation Spine as its newest Member. This addition brings the network to 14 of the UK’s most forward-thinking innovation districts and knowledge quarters, strengthening a powerful peer-to-peer ecosystem dedicated to sharing best practices, driving inclusive innovation and leading the national conversation on innovation-led economic growth.

In an era of significant political, economic, social and technological change at home and overseas, the value of a collaborative national network cannot be overstated. By uniting localised hubs of expertise and capabilities, UK IDG enables members to pool data, influence national policy, and speak with a collective voice that champions the role of innovation districts in driving UK productivity and delivering the national industrial strategy. 

Sheffield Innovation Spine is a prime example of this impactful work in action. Developing as an innovation district in the heart of Sheffield city centre, the Spine is connecting Sheffield’s academic, commercial and community assets. Delivered through a partnership with purpose between the University of Sheffield, Sheffield Hallam University, Sheffield City Council, South Yorkshire Mayoral Combined Authority and Sheffield Technology Parks, the Spine is actively creating the infrastructure and ecosystem needed to attract and retain high-value businesses, commercialise world-class research, and seed sustainable economic growth across the North.

Charlotte Thompson, Director of Sheffield Innovation Spine, highlighted the strategic importance of the Membership: “Sheffield Innovation Spine is an energised, urban innovation district in the centre of Sheffield. Membership with UK IDG puts us at the heart of the national conversation – influencing policy, sharing data and best practice, and learning from other leading places. 

“The Spine is a hot spot for world class research, knowledge-led businesses, collaboration and specialist spaces. We are designing for density in Sheffield city centre and our rate of change is really exciting. We’ve recently launched an investment prospectus with development opportunities and partner backed incentives for several city centre sites. 

“Joining UK IDG now connects us with a thriving ecosystem of innovation districts and knowledge quarters to learn from and share with as we build our pipeline of businesses, attract investment, connect our communities, and set the conditions for inclusive innovation-led growth.”

Welcoming the newest member, Emma Frost, Chair of UK IDG, said: “We are thrilled to onboard Sheffield Innovation Spine to our growing network. Sheffield’s collaborative approach to knowledge-share and partnership working and their deep-rooted history of industry, invention and ingenuity makes them a fantastic addition to the network. We have been working with Charlotte and South Yorkshire colleagues representing the region’s unique set of innovation assets for a number of years and this Membership formalises the next phase of that relationship. It shines a light on Sheffield city centre’s 190 acre innovation district – connecting five mixed-used neighbourhoods and bookended by two world class universities.  On behalf of our Members, we are looking forward to working closely with Sheffield Innovation Spine as we share best practice and crucial insights, gather evidence, shape national policy and demonstrate how innovation districts can drive meaningful, inclusive economic progress across the UK.”

UK IDG is a connected and unifying peer network, bringing people together to speak with one voice about their shared mission; tackling society’s biggest challenges through place based innovation.

Impact focused, open and equitable, UK IDG demonstrates the power of peer-to-peer learning and knowledge exchange. Testing, experimenting and learning from doing. This is how UK IDG Members deliver real change for places and for people.

Fly through of Sheffield Innovation Spine – an energised urban innovation district spanning 190 acres in Sheffield city centre.

At last week’s UK Innovation Districts Summit 2026 in Liverpool, a vital conversation took centre stage: ‘Public opinion on R&D and innovation: why it matters and what next.’ We sat down with David Marlow (Chief Executive, Third Life Economics) and Jane Robinson (Pro Vice-Chancellor, Business, Partnerships and Place, Newcastle University) to unpack a reality that every innovation district leader in the UK must now confront.

While our districts are engines of economic growth and scientific breakthroughs, a widening disconnect is forming right on our doorsteps. If we want our ecosystems to be sustainable, we have to change how we engage with, and deliver value to, our local communities.

Here are the key takeaways from the discussion and what they might mean for your leadership strategy.

1. Public Perception of ‘value’ 

The majority of people support the need for R&D funding. In particular, they support university medical research and understand its potential to save lives and improve health outcomes. The Campaign for Science and Engineering (CaSE) Public Attitudes Study found that 88% of people support the need for Government funding into R&D activity but actually only 18% of people state that they feel any benefits of this in their immediate area or for their family.

The takeaway for leaders: For too long, the “value” of an anchor institution has been abstract or inward-facing. If local people feel that the knowledge generated in our districts is detached from their daily lives or that the career pathways we create are out of reach, we risk losing our social license to operate. We must bridge this gap by really strengthening university-community links.

2. Putting “Place” and “People” First

How do we fix this? The duo discussed a strategic framework for innovation districts that shifts our focus from purely property-led development to human-centered placemaking, and referenced  a recent report: Driving Inclusive Innovation.

True inclusive innovation isn’t a byproduct of growth; it must be intentionally designed. As leaders, our role is to connect the research strengths of our universities directly with the immediate opportunities and challenges within our local communities. There is also a direct call to focus on human-centered design in the development of districts both in physical estate and facilities access terms but also in the services and programmes that we run. 

3. Measuring What Matters: Frameworks for Inclusive Metrics

You can’t manage what you don’t measure. The summit highlighted the urgent need to rethink the metrics we use to measure success for innovation districts and ensure they focus on outcomes and inclusive growth just as much as jobs and GVA. UK IDG has been working on this to co-design a Framework for Innovation District Metrics.

Stakeholders across districts need a standardised vocabulary and dataset to articulate their inclusive innovation ambitions. We need to move beyond traditional metrics like “square footage developed” or “venture capital raised” and start tracking indicators that prove local wealth building, community health improvements, and economic resilience at neighbourhood-level.

4. Creating Real Pathways: The “Building Blocks” Model

Inclusive innovation requires tangible programmes, not just policy papers. A standout example discussed was BUILDING BLOCKS. Newcastle Helix’s BUILDING BLOCKS work experience model is based around a ‘work placement safari’, where rather than relying on a one-week placement with a single employer students are exposed to a range of experiences involving real workplaces, real people and real skills. 

This initiative is actively breaking down barriers, directly connecting young people with global industry partners and government stakeholders. By scaling projects like this, innovation districts can provide life-changing, practical exposure to young people who might otherwise feel completely alienated from the innovation economy – as this recent film about the Future of Work Experience explains.

5. Co-Design: Engaging Communities Early

Jane Robinson shared critical insights from Newcastle, emphasizing that community engagement cannot be an afterthought or a “tick-box” exercise at the end of a project.

Newcastle University’s approach relies heavily on involving local communities early in the design phase of innovation projects. When residents are treated as co-designers of the district’s priorities, the resulting innovations are more relevant, more trusted, and far more likely to deliver genuine local impact.

6. Navigating the Complexity of Diverse Regions

Finally, the panel tackled a systemic hurdle: the sheer difficulty of scaling university-driven innovations across vastly different political and regional landscapes in the UK. What works in a highly devolved combined authority might stall in a different regional context. Just as what works in an inner city district might be different from a semi-rural town. 

To succeed, innovation district leaders must advocate for regional certainty and tailor their value proposition to the specific political and economic realities of their geography. Innovation must be made highly relevant to local political leaders and public priorities to secure long-term backing.

What Next for District Leaders?

As leaders, we must use our convening power to co-design our districts with the people who live, work and study in them. By adopting inclusive metrics, investing in early community engagement,  and building concrete pathways for people to get real value from a district (like Building Blocks in Newcastle), we can shift the dial on public opinion.

What steps is your district taking to co-design with your local community? Let us know by joining the conversation on LinkedIn.

UK Innovation Districts Group Associate Members Arup, will be joining leaders working across the built environment, placemaking and economic development roles, at the annual UK IDG Summit this Friday (5 June) in Liverpool.

Arup and UK IDG have been collaborating on industry research and policy white papers for almost a decade and today UK IDG can announce that Jack Baker – Senior Urban Designer and Architect at Arup, and Charlotte Cutter – Arup Consultant, will be joining other place-based innovation specialists to facilitate two of the three workshops at the 2026 Summit.

Charlotte will be convening a conversation on ‘Crowding Investment into Innovation: developing prototypes’. Jack will facilitate a workshop – ‘Mapping and Maximising Entrepreneurial Skills – lessons from Liverpool, Newcastle and Belfast’.

Last week UK IDG reported that Metro Dynamics are to facilitate the workshop ‘From data to decisions: how good data drives good outcomes’ – you can read more on that news here: https://www.ukinnovationdistricts.co.uk/uk-innovation-districts-summit-power-up-session-with-metro-dynamics-announced/

Arup, is a global consultancy with 18 UK-based offices and they have been operating in the built environment space for 80 years. A thought leader in the innovation district space, Arup collaborates with UK IDG Members, government agencies, businesses, research partners and placemakers to deliver inclusive and sustainable growth for UK cities and regions.

The team brings with them a wealth of experience, from policy leadership and mapping innovation ecosystems, developing the spatial proposition and case for innovation-led investment, to partnering with universities and other anchor institutions that drive the research and commercialisation capabilities of innovation districts. This includes convening and accessing innovation talent, and identifying opportunities to connect businesses, skills, people and places. 

As long-time advocates of the ‘inclusive innovation agenda’, Arup will be sharing their experience working with innovation districts and ecosystems to support economic growth – creating local jobs for local people, and designing places and networks that attract people and investment. 

At last year’s Summit UK IDG launched the action paper ‘Unlocking UK Innovation Districts to accelerate Industrial Strategy outcomes’ highlighting the vital role innovation districts play in delivering key elements of the UK’s Industrial Strategy. This paper was co-produced with Members, including Associate Members Arup, who generously supported the development of the report. Lessons learnt from this and policy recommendations made, will feed into this year’s workshops facilitated by Charlotte and Jack.

Ciara Graven, Senior Economist at Arup is one of 100 delegates set to attend the Summit in Liverpool this week. Ciara said: “We are delighted to be both attending and facilitating workshops at the UK Innovation Districts Summit this year! These events convene place-based innovation district leaders and partners from across the UK, bringing people together who just wouldn’t get the opportunity to meet face-to-face otherwise. It’s a great opportunity for people to get together to share knowledge, insights and experiences – and to build those all-important relationships that help shape innovation-led economic growth across the UK.”

The UK Innovation Districts Summit 2026 is being held at the Everyman Theatre, Liverpool, with support from UK IDG Member Knowledge Quarter Liverpool, during the city region’s Innovation Investment Fortnight.  The Summit is for UK IDG Members, policy makers, placemakers, entrepreneurs, and changemakers designing and delivering innovation districts, economic growth and placemaking activity. The event is currently at capacity but you can join the waiting list and be notified if any tickets become available here: UK Innovation District Summit 2026

Metro Dynamics Consultants Fiona Tuck, Gillian O’Connell and Mary Dolphin are to join leaders working across place-based innovation roles, government teams and investors, next month, at the UK Innovation Districts Summit 2026.

The Summit, to be held on 5 June within the Knowledge Quarter Liverpool, will convene UK Innovation Districts Group (UK IDG) Members with a wider network of practitioners and stakeholders invested in the UK’s innovation ecosystem. 

The Metro Dynamics team will be running one of three power-up sessions programmed into the day-long Summit, delivering an interactive workshop that explores how data drives inclusive growth. Other power-up content will be led by subject matter experts on themes including; ‘Crowding Investment’ and ‘Mapping and maximising entrepreneurial skills: lessons from Liverpool, Glasgow, Newcastle and Belfast’.

Principal Consultant, Gillian O’Connell, Metro Dynamics, said: “At this year’s UK Innovation Districts Summit we’ll be delivering an interactive workshop that explores  applications for data collection and the power of data-led stories. Our aim is to support innovation districts and their partners to become more confident in using data strategically: to shape priorities, guide investment decisions, strengthen partnerships and articulate impact. Reflecting the wider theme of the Summit, the emphasis will be on practical delivery and peer learning.”

Metro Dynamics is a place-based economic development advisory business. They work with cities and city-regions to support inclusive innovation-led growth. In 2021 Metro Dynamics and Professor Neil Lee were commissioned by UK IDG to research how, as part of the levelling-up agenda and the Government’s 2022 Levelling Up White Paper, places right across the UK can deliver truly inclusive innovation. This culminated in a report published the following year – Opening the Innovation Economy: The case for inclusive innovation.

Of this Summit Programme announcement, UK Innovation Districts Group Chair, Emma Frost, said: “We are thrilled that Metro Dynamics will host the data and impact themed-power-up session at the Summit this year. Having worked with the MetroDynamics on a major research project exploring the case for inclusive innovation, I know how valuable their experience is for our Members and our wider stakeholders attending.  Capturing good quality data and having the confidence to use it remains a significant challenge for innovation districts and knowledge quarters across the UK”. 

The UK Innovation Districts Summit 2026 is being held at the Everyman Theatre, with support from UK IDG member Knowledge Quarter Liverpool during the city region’s Innovation Investment Fortnight. 

This is an opportunity for curious people working across place-based innovation, to connect with other UK Innovation Districts, explore the year’s most relevant themes, share knowledge and make valuable connections. The Summit is for UK IDG Members, policy makers, placemakers, entrepreneurs, and changemakers designing and delivering innovation districts, economic growth and placemaking activity. Secure your place today: UK Innovation District Summit 2026

Following the publication of our policy action paper, ‘Unlocking UK Innovation Districts to accelerate Industrial Strategy outcomes’ in September 2025, the UK Innovation Districts Group (UK IDG) is delivering on the key recommendations, building our evidence base, and sharing best practice.

Developed in collaboration with industry leaders, universities, and local and regional government teams, the report recognised the unique role innovation districts play in delivering sustainable economic growth. It set out a series of practical recommendations to accelerate this growth, including: ‘Enabling more investment into innovation districts’.

Last week (14 May 2026), UK IDG convened Members for the first of a two-part workshop: ‘Crowding Investment into Innovation Districts’. The session focused on the mechanics of place-based investment, supporting Members to explore how city-regions are attracting vital private capital alongside other income sources, and how they are using it to build thriving innovation ecosystems.

We know ‘crowding investment’ is mission-critical when it comes to transforming the UK’s R&D excellence into long-term economic prosperity, and this UK IDG workshop series, along with other investment in innovation themed events, is designed to stress-test learning and build the case for places.

Last week’s session explored the bottlenecks to investment experienced by our Members and the root causes of these pressure points. Led by UK IDG Chair, Emma Frost, participants from innovation districts and knowledge quarters analysed the impact that local capacity has on attracting and administrating investment, and discussed what the national support offer should be. Two clear themes that came through the discussion were: 

  1. The business journey is under-designed

One of the most important gaps identified was the lack of a clear, district-level pathway for firms from spin-out or start-up to scale-up and long-term anchor. The workshop suggested that many places still treat commercialisation, property, finance and growth support as separate systems, when firms experience them as one continuous journey.

  1. Public finance needs better coordination

Too often public finance institutions operate in parallel rather than in sequence. The workshop pointed to the need for clearer roles between the Office for Investment, the National Wealth Fund, Homes England, the British Business Bank, Innovate UK, UKRI and local partners, so that projects can move through a coherent pipeline rather than bouncing between agencies.

Two very useful reference documents were used to help inform this work and frame the conversation. The forthcoming Lloyds Innovation Foundations paper: The economic potential for financing the UK’s Innovation Infrastructure, and the  Pioneer and ‘The Crown Estate report ‘Beyond the Capital Gap for UK Research Commercialisation’ (March 2026).

Other UK IDG-supported activities planned throughout the year aim to gather evidence and insight that will inform the ‘Crowding Investment into Innovation Districts’ briefing paper due to be published by the end of the year. Events include roundtables and panel discussions at UKREiiF this week, and a peer-led discovery session at the UK Innovation Districts Summit in Liverpool in June. The events are designed to engage government agencies, financial institutions and placemakers to join our innovation district Members, to capture best practice and lessons learnt. Our ultimate goal is to ensure every innovation district has the capacity, the connections, and the capital to deliver inclusive growth for their communities and the wider UK economy.

If you would like to join the conversation and can add to our shared knowledge-base, we’d like to hear from you too: hello@ukinnovationdistricts.co.uk