A recent grant given to the University of Cambridge by the European Union to fund research into graphene development, together with the region’s reputation as the UK’s “Silicon Fen”, is prompting Downing Street officials to take a greater interest in the city’s business potential.

A wave of new initiatives announced in recent weeks looks set to create closer links between the university and Downing Street. Business Secretary Vince Cable is scheduled to open Cambridge Awards Week (a week celebrating the success of Cambridge-based technology companies organised by Cambridge News and Business Weekly) next month.

Meanwhile, Prime Minister David Cameron has chosen Cambridge Vice-Chancellor Professor Borysiewicz to lead a trade mission to India next month. Business commentators have pointed to this as indication of Cameron’s confidence in Professor Borysiewicz personally and in the University’s international pulling power. The trip will involve a visit to Bangalore as part of the new Bangalore-Cambridge Innovation Network launched last year, and is tipped to become one of the world’s most productive international research and technology collaborations. The initiative will strengthen ties between Cambridge and Bangalore, as well as between the UK and India.

Earlier this year, the European Commission named the material graphene as the focus of one of its “Future Emerging Technology” flagship programmes and launched a €1 billion fund for research into its uses, of which €54 million was awarded to the University of Cambridge. This follows an award of £12 million to the university last year from the British government. Together, they have allowed for opening of the new Cambridge Graphene Centre, which took place at the beginning of February. Dr Andrea Ferrari, the director of the new establishment, commented that: “The large funding the EU is ready to invest in our vision puts a huge burden of responsibility on our shoulders”.

This business interest in Cambridge is not unprecedented. The region has become home to 1,400 companies in recent years, with more than 40,000 jobs in the cluster of high-tech start-up companies that has established here. One such local success story has been the microprocessor company ARM. Founded in Cambridge in 1990, the firm produces the microchips used in iPhones and iPads, and achieved profits of nearly £577 million for 2012. This is together with the Cambridge Science Park. Established in 1970 by Trinity College, this is Europe’s longest serving and largest centre for commercial research and development.

The university, contrary to what one might expect, has been encouraging of the commercial use of academic research undertaken at the University. Regarding the potential marketable uses of graphene, the university’s Vice-Chancellor, Professor Sir Leszek Borysiewicz has said: “The pioneering work of Cambridge engineers and scientists in fields such as carbon nanotechnology and flexible electronics, coupled with our record working with industry and launching spin-out firms based on our research, means that we are in a unique position to take graphene to that next level”. Following the success of the science park, Cambridge Enterprise – a body affiliated with the university – has even been established to undertake the licensing and consulting of university research to profit-making companies.

Many reasons have been cited for this burgeoning national and international interest in Cambridge.  Certainly, the brand factor is not to be underestimated. Both domestically and abroad, the name “Cambridge” has innovative and academic connotations which companies can benefit from, even if they are not explicitly linked to the university. The quality of the university receives international renown, encouraging financial investment in the area. 

Aside from academic prowess, the community spirit and quality of life in Cambridge are important factors inciting successful researchers and entrepreneurs to stay and mentor the next generation of pioneers. MP for Cambridge Julian Huppert, talking to the Guardian in May 2012: “One of the things that makes Cambridge work is that it's a smallish place. There are lots of pubs where you're very likely to find other people who work in the knowledge economy. Lots of the really interesting ideas … happen through that sort of informal interaction: people bumping into each other in the pub, on the streets, in the shop”.