A government proposal to develop a network of high-class technology and innovation centres is expected to create job opportunities for skilled graduates.
Under the plan, centres will be established to enhance research and commercialising technologies in fields such as stem cells, the internet, plastic electronics, fuel cells, renewable energy and satellites.
The proposal comes after a report commissioned by Business Secretary Lord Mandelson from technology tycoon Hermann Hauser highlighted the need for investment in technology and innovation centres.
The Technology Strategy Board is going to look into ways of carrying out the Government's plan.
The Hauser review also said Britain is losing out on economic benefits by not putting into use its science and technology expertise.
Lord Mandelson said: "I am now determined that the UK builds a capability for the long term, through a more strategic and sustained approach to investing in these centres.
"I want to understand the UK's strengths, weaknesses and where there are gaps we need to invest in."
In addition, Lord Mandelson revealed that the Government would be investing ??2.5 million in a new scholarship scheme to attract the world's best research students to the UK.
