With the new National Semiconductor Strategy, the UK government plans to invest up to £1bn in the next decade — with £200 million being invested over 2023-2025 — to help bolster the UK’s skills in semiconductor research, design, and compound semiconductor creation.

The government says that building on these domestic strengths can subsequently help to safeguard supply chains, protect the UK against security risks, and stimulate the growth of the UK’s semiconductor sector.

Semiconductors — often called microchips, or chips — are necessary components for most modern-day electronic devices, from mobile phones to computers to ventilation systems. They also underpin innovative technologies such as quantum and 6G.

While semiconductors are made from one element — like silicon — compound semiconductors are made from two elements or more, and have capabilities outwith silicon chips’ remit due to better performance. The government says that expertise with the creation of compound semiconductors is an area of UK science leadership.

On the strategy, Prime Minister Rishi Sunak said: “Semiconductors underpin the devices we use every day and will be crucial to advancing the technologies of tomorrow.

“Our new strategy focuses our efforts on where our strengths lie, in areas like research and design, so we can build our competitive edge on the global stage.

“By increasing the capabilities and resilience of our world-leading semiconductor industry, we will grow our economy, create new jobs and stay at the forefront of new technological breakthroughs.”

Chloe Smith, the Department for Science, Innovation, and Technology (DSIT) Secretary, also commented: “Semiconductors are the beating heart of all electronic devices, from powering our phones and cars to medical equipment and innovative new technologies like Quantum and AI which will make a real difference to all of our lives.

“Britain is already a world leader when it comes to researching and designing semiconductor technology – our new strategy will double down on these core strengths to create more skilled jobs, grow our economy, boost our national security and cement the UK’s status as a global science and technology superpower.”

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Despite the UK government’s ambitions with the semiconductor sector, critics have already lambasted its £1bn strategy.

In a tweet, Labour shadow culture minister Lucy Powell said that the plan showed “​​significantly less ambition than our competitors.”

Dr Simon Thomas, the CEO of UK-based graphene semiconductor start-up, Paragraf, told the BBC that the announcement was “quite frankly flaccid,” and that it’s “a long way from addressing the needs of UK chipmakers.”

In recent months, the US and EU have pledged roughly $50bn (£40bn) and €43bn (£37bn) respectively to boost manufacturing in their regions.