Merck has abandoned its major £1.3 billion research center project in London and discontinued all discovery research operations in the UK due to dissatisfaction with the local pharmaceutical investment climate and drug pricing policies. The move highlights escalating tensions between pharmaceutical companies and UK government policies perceived to be unsupportive of innovation and competitive pricing. The decision is part of a broader industry retreat from the UK in response to regulatory and market challenges. This development signals a setback for the UK's aspirations to be a life sciences hub.