GSK is relocating its UK R&D operations to a new Cambridge campus, backed by a 400 million pound investment, with the Stevenage site closing and scientists transferring to the Cambridge site to speed up research and collaboration within Cambridge's biotech cluster.

The Cambridge campus will cover about 300,000 square feet, housing more than 1,000 scientists, with relocations to be completed in phases by 2029, and some staff may also move to an upgraded Ware site.

Leadership stresses that the move frees up capital to invest in late-stage portfolios and R&D under a three-year cost-savings program, with a focus on accelerated medicines discovery through closer collaboration at Cambridge.

GSK has signaled a more confident outlook, citing a fuller pipeline and a credible longer-term revenue target, though investors remain cautious due to past performance warnings.

Some reductions in support services are expected as part of the restructuring, though exact numbers have not been disclosed.

GSK shares rose roughly 6% on the London Stock Exchange following the announcement.

Interim results show underlying core operating profit up 8% and turnover up 5% on a constant currency basis, though statutory earnings declined due to one-off factors.

The seasonally adjusted half-year figures reflect resilience in core profitability and revenue, with statutory earnings dampened by non-recurring items.

The Cambridge relocation is part of a broader strategic update funded by anticipated annual cost savings, with reinvestment directed toward R&D for future medicines and vaccines.

About 45% of targeted savings are expected from procurement, support functions, and non-frontline areas, with roughly 40% redirected from mature drugs toward new therapies and 15% from supply chain efficiencies.

The move aligns with UK life sciences sector strategy and follows comparable investments by peers, earning positive reactions from political leaders and bolstering UK biotech activity.

Despite the dolutegravir patent cliff in the coming years, GSK projects stable to improving operating margins and aims to exceed 40 billion pounds in revenue by 2031, supported by cost cuts and growth momentum.