If you *don't* patent your idea, can somenone else?
It sounds as though this government believes that only UK firms would access - and use - UK - or rather Enlish - funded research (not clear whether the same laws apply in the devolved nations - or whether the England publication requirements would apply in the devolved nations): if an invention is *not* patented or protected, what protection is there for the originators or funders from someone else patenting it elsewhere?
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