The pharmaceutical industries were among the biggest spenders on research and development

Government spending on research and development fell in the latest official data as the UK continued to trail behind the European Union average.

The Office for National Statistics said that the UK ranked 11th out of 28 EU members on R&D investment. The UK’s 1.67 per cent of national income spend compared with an EU average of 2.03 per cent.

Investment in research and development is a key indicator of future prosperity, as it is closely tied to productivity growth. Germany and France invest well over 2 per cent of GDP in R&D and have better productivity: workers in both countries produce a fifth more in a week than British workers.

The government has put R&D at the heart of its industrial strategy with a