The first half of 2022 saw the NASDAQ Biotechnology Index lose a quarter of its value. Despite a tentative recovery since then, the IPO window is barely ajar and valuations remain well below the highs of September 2021, when a five-year biotech boom peaked. For the first instalment of Scrip’s annual series sounding out executives, experts and investors on the year ahead, we asked how the biopharma funding environment would evolve in 2023. “We have seen a noticeable uptick in activity in Q4 2023 which we would expect will continue through 2023. From the company perspective, shorter than anticipated cash runways as a result of COVID-linked delays to R&D and rising costs and inflation have meant that companies continue to see their financing needs accelerated. Investors are undoubtedly reserving some of their capital in order to support existing portfolio companies, but we would expect the increased deal activity to continue," said Andrew Harrow, a Life Sciences partner, to Scrip Intelligence UK.