Life sciences industry outlook

Clinical trial timelines in flux: Considerations for U.S. and UK biopharma companies

April 29, 2026

Key takeaways

AI, global trials and FDA shifts are compressing U.S. biopharma clinical timelines and lowering costs.

UK trial timelines are lengthening, pressuring cash runway and investor confidence.

Divergent U.S. and UK timelines require tailored trial design, geography and funding.

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Economics The Real Economy Life sciences Biopharma

Clinical trials are a key pillar of the life sciences industry. They are the bridge between scientific discovery and regulatory approval. These trials are also a primary driver of valuation and represent key milestones for investor funding, partnerships and licensing deals. They are essential to demonstrating commercial potential and competitive differentiation for biopharma and biotech companies.

Yet the length of clinical trials has long been seen as a challenge to regulatory approval. As the life sciences industry evolves and regulatory policies shift, will trial periods adjust? Below we dive into clinical trial trends in the U.S. and the UK, examining how they differ as well as what’s to come in both of these geographic landscapes.

What’s driving condensed timelines in the U.S.?

Within the biopharma/biotech sectors, the duration of clinical trials has, on average, ranged from six to 10 years, due to factors such as trial enrollment delays, regulatory requirements and increasingly complex trial protocols.

However, recent data suggests that trial timelines are beginning to shorten. This trend may become the new normal, driven primarily by three factors: artificial intelligence, clinical trial globalization and regulatory changes. 

AI’s impact

Initially, AI was expected to be used primarily for scientific experimentation within the biopharma and biotech sectors; however, AI has also demonstrated significant value by improving operational efficiency and transforming the way clinical trials are designed, executed and scaled. AI is reshaping clinical trials across multiple areas, including:

  • Patient recruitment and retention
  • Protocol optimization and design
  • Data management and monitoring
  • Synthetic control arms
  • Predictive analyses to accelerate timelines and improve efficiency
  • Cost management
  • Patient selection to improve trial success rates

Looking forward, AI adoption will be crucial in accelerating clinical trials. Recognizing this shift, the U.S. Food and Drug Administration has issued draft guidance on using AI to support regulatory decision making for drug and biological products, which includes a seven-step, risk-based credibility assessment framework. While this guidance is still in draft form, at least partial adoption is expected, and companies should begin preparing now.

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Global reach

Because the FDA allows approvals based solely on foreign clinical data provided certain criteria are met, sponsors are increasingly conducting trials overseas—particularly in China. This shift has contributed to shorter clinical trial timelines.

According to ClinicalTrials.gov, in February more than 50% of registered clinical trials were based solely outside the U.S., with trials based only in the U.S. making up just 29%. Companies are increasingly looking to conduct clinical trials in China due to the country’s lower costs and its ability to shrink timelines through efficient recruitment and execution.

According to a recent report on Asia’s role in biopharma, the timeline from early discovery to investigational new drug is 50% to 70% shorter in China compared to the rest of the world. Further, in later development, trial recruitment, which is often a barrier, is two to five times faster than in the U.S., primarily due to large, concentrated patient pools and well-resourced trial sites. Barring any regulatory changes, companies will likely continue to seek out licensing deals and shift research and development activities to China and other countries outside of the U.S. to save on costs and accelerate timelines.

Regulatory changes

Shorter clinical trial timelines are also being driven by regulatory changes, including regulatory support for decentralized and hybrid trial models in the postpandemic era, which allow for faster enrollment, increased retention and fewer operational bottlenecks. Additionally, the FDA’s expanded use of fast-track designations, breakthrough therapy designations, priority reviews and accelerated approval programs reduces the number of trials required and enables regulatory approvals and key development decisions earlier in the trial process. In February the FDA announced plans to change its default expectation of two pivotal clinical trials to one, which is expected to substantially reduce costs and speed time to market. This change is in line with recent policy changes aimed at reducing drug costs in the U.S.; the agency believes that lowering R&D costs for drug developers will help temper rising drug prices.

Faster trials can mean cost savings and funding opportunities

Clinical trials are extremely costly and often the leading cause of cash burn for biopharma and biotech companies, requiring them to seek financing. While Phase 3 is consistently the costliest phase due to R&D spend, in recent years, many companies have secured financing in Phase 2.

Since investors are more likely to invest on the heels of positive data, many companies seek a financing round when they release Phase 2 data to help fund Phase 3. The funding may come from numerous sources, including venture capital, debt, mergers and acquisitions, and initial public offerings. With several IPO announcements in Q1 2026, capital markets are showing early signs of reopening for the biopharma and biotech sectors. 

With several initial public offerings announcements in Q1 2026, capital markets seem to be showing early signs of reopening for the biopharma and biotech sectors. Phase 2 is seen as the most common point in the clinical trial life cycle to initiate an IPO as it is found to be a sweet spot for attracting investors, while also providing a large source of capital to fund Phase 3 trials.

As clinical trial lifecycles stabilize and shorten, companies can expect to realize cost savings, raise funding more quickly and potentially enter the capital markets sooner. The pace of progress in a clinical trial directly influences funding cadence, and while Phase 2 is expected to continue to attract the greatest investor focus, companies are expected to reach that phase sooner.

Over the coming months, life sciences companies should anticipate that faster, more predictable clinical timelines will increasingly influence development strategy, capital planning and competitive positioning. However, companies should focus on improving execution predictability rather than assuming faster approvals alone will accelerate development. Early regulatory engagement, realistic funding plans and trial designs that account for product complexity will be critical to managing cost, capital needs and development risk.

Organizations that align early around AI-enabled trial execution, global site selection and evolving regulatory expectations will be better equipped to advance assets efficiently and capitalize on funding windows. As clinical development accelerates, disciplined planning and operational readiness will be critical to sustaining momentum and translating speed into long-term value.

Longer UK trials, growing implications

In contrast with U.S.-based trials, UK trial timelines have extended significantly over the past decade. While increasing scientific complexity plays a role, deeper systemic factors are reshaping how quickly trials can be initiated and delivered.

The trend is occurring alongside another concerning signal: the UK’s declining share of global clinical trials since 2016, driven not only by longer timelines but also by post-Brexit regulatory divergence, currency dynamics and growing competition from lower-cost research geographies. Together, these developments point to slower trials and a shift in sponsor perceptions about the UK as a location for clinical research.

Multiple forces are driving longer trial timelines, spanning science, regulation and delivery infrastructure:

Rising scientific and operational complexity

Modern clinical trials are increasingly focused on precision therapies, biologics, gene and cell treatments, and rare disease indications. These therapies require narrower patient populations, complex endpoints and highly specialized trial designs. Recruitment is therefore slower, and protocols are more difficult to execute.

The NHS: Both asset and bottleneck

The National Health Service remains the backbone of UK clinical trial delivery and one of its greatest strategic assets. Its scale, longitudinal patient data and diverse population provide a powerful platform for research. However, structural pressures within the system are increasingly visible.

Workforce shortages, rising care demand and postpandemic backlogs have constrained research capacity. Site availability, contracting delays and inconsistent performance across trusts contribute to longer study setup times compared with U.S. and European Union peers. Though regulatory friction continues to affect setup times, operational execution across NHS sites has become the primary driver of delivery risk.

The same duality extends to data and digital infrastructure: The NHS holds some of the world's richest longitudinal patient data, yet fragmented interoperability across trusts limits sponsors' ability to leverage it at scale. In the U.S., AI-enabled patient identification and real-world evidence generation are increasingly standard features of competitive trial design; in the UK, while significant national investment is beginning to address these barriers, interoperability across trusts remains a work in progress, and the infrastructure required to deploy AI-enabled trial tools at scale is still maturing rather than established.

Study setup and approval friction

Perceptions of the UK as an attractive destination for clinical trials have been affected by persistent study setup and approval friction, driven by historically fragmented regulatory, ethics and NHS site processes. New regulations now seek to change this.

The Medicines for Human Use (Clinical Trials) (Amendment) Regulations 2025, the most significant overhaul of the UK clinical trials framework in 20 years, took effect April 28, codifying a combined Medicines & Healthcare products Regulatory Agency (MHRA) and ethics review, risk-proportionate pathways for lower-risk trials, and new transparency obligations. For sponsors, this represents a material shift in the regulatory landscape.

The impact on middle market life sciences firms

Longer clinical trial timelines create challenges across the life sciences sector, but the effects are most acute for UK middle market life sciences companies, and include:

Pressure on cash runway and time to value
 

Extended timelines increase development costs, delay key milestones and push revenue generation further into the future. For midsize companies operating with finite capital, this directly affects cash runway and funding strategy. The longer it takes to reach clinical inflection points, the greater the pressure on financing and valuation.

Weaker investor confidence and capital efficiency

Investors increasingly scrutinize development timelines when allocating capital. Delays can weaken confidence, particularly if uncertainty stems from delivery rather than science. Companies may need to demonstrate stronger operational planning, diversified trial geography or partnership strategies to maintain investor support.

A more globally focused trial strategy
 

Some sponsors are segmenting trials geographically, running early-phase or complex studies outside the UK while maintaining a selective presence in the UK, where patient access or data advantages remain strong. Over time, if UK delivery performance does not improve, the UK’s role in commercially sponsored research could diminish.

Where future growth may emerge

Despite current challenges, several structural trends could support a more efficient and competitive UK clinical trial landscape. To capitalize on these opportunities, companies and investors should consider the following actions. Of these, AI investment is the most consequential: It is the primary lever through which the U.S. is compressing timelines, and the area in which the UK's relative underinvestment is most visible.

Invest in AI-enabled trial design and recruitment capabilities. AI is increasingly being used to optimize protocol design, predict recruitment feasibility and identify eligible patients faster, potentially reducing delays at the earliest stages. Yet the UK's adoption of AI in clinical development remains behind the U.S., constrained by three structural factors: lower venture capital investment in health-focused AI tools and platforms; AI-specific guidance from the MHRA that is still taking shape, leaving sponsors uncertain how AI-generated evidence will be assessed (the FDA's risk-based framework, while in draft, gives sponsors greater clarity); and a fragmented NHS data infrastructure that limits the real-time patient identification capabilities increasingly standard in U.S. trials. Companies should not wait for this landscape to resolve itself; those that invest now in AI-enabled tooling and engage early with the MHRA on evidential expectations will be better positioned as the framework matures.

Adopt decentralized and hybrid trial models where appropriate. Companies should assess the feasibility of integrating digital tools, remote monitoring and virtual participation into trial design. These models have the potential to accelerate recruitment and reduce site burden, particularly in chronic disease and large population studies.

Leverage the UK’s strengths in rare disease and genomics-led research. Sponsors should prioritize trial strategies that utilize the UK’s national data assets, specialist centers and genomics capabilities. This is particularly relevant for precision medicine and rare disease trials, where efficient patient identification and access to longitudinal data are key differentiators.

Expand the use of real-world evidence and postmarket studies. Companies should consider how real-world data can complement traditional clinical trials, particularly in postmarket and observational studies. The UK’s integrated health care system offers a strong foundation for generating high-quality real-world evidence to support regulatory and commercial objectives.

These emerging models may favor capital-efficient innovators, specialist contract research organizations and data-driven platforms rather than large pharmaceutical companies. As clinical trial timelines stabilize unevenly across the U.S. and UK, companies should focus on improving execution predictability rather than assuming faster approvals alone will shorten development. Making trials smarter—not merely faster—is the defining challenge for UK sponsors, and that means purposefully adopting AI where it can reduce execution friction. Early regulatory engagement, realistic funding plans, trial designs that account for product complexity and deliberate investment in AI-enabled tooling will be critical to managing cost, capital needs and development risk. The U.S. is ahead on this agenda; the UK need not remain behind.

The takeaway

As clinical trial timelines compress in the U.S. and lengthen in the UK, life sciences companies should proactively tailor trial design, geography and funding strategies to each market’s realities. In the U.S., this means leveraging AI, regulatory flexibility and global trial execution to accelerate milestones, while in the UK it requires disciplined operational planning, early regulatory engagement and selective use of UK strengths to protect capital efficiency and investor confidence.

RSM contributors

  • Katherine Powers
    Katherine Powers
    Life Sciences Senior Analyst
  • Max Stanyard
    Max Stanyard
    Healthcare and Life Sciences Senior Analyst

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