Government’s New Measures for Standard Essential Patents
The government has unveiled its response to the recent consultation regarding Standard Essential Patents (SEPs), outlining a comprehensive package of targeted initiatives aimed at enhancing transparency, streamlining dispute resolution processes, and facilitating more informed licensing negotiations in the realm of SEPs.
SEPs are crucial patents that safeguard innovations indispensable for technical standards, enabling seamless connectivity and interoperability of products and services across international borders. They form the backbone of economically significant technologies, including smartphones, Wi-Fi, connected vehicles, medical devices, and advanced manufacturing. The significance of SEPs is expected to escalate in tandem with the rising number of declared SEPs globally and the emergence of new technical standards for transformative technologies such as 6G and artificial intelligence.
The measures delineated in the government’s consultation response aim to create a clearer and more navigable environment for all businesses engaged in this increasingly vital ecosystem.
Enhancing Dispute Resolution and Information Access
To bolster SEP dispute resolution, the government plans to support more efficient and cost-effective mechanisms. This includes collaboration with the judiciary to explore the implementation of a court-anchored early FRAND (fair, reasonable and non-discriminatory) determination process within the existing court framework of England and Wales. Additionally, the government will develop FRAND licensing guidelines to guide parties through this pathway, alongside a potential IPO-led FRAND opinion service aimed at offering early assessments on whether proposed SEP licence offers comply with FRAND standards.
Moreover, the government intends to enhance access to SEP information by establishing a voluntary framework for rightsholders to submit standard-related patent details to the IPO. This initiative involves collaboration with industry stakeholders to devise an effective method for businesses to identify relevant SEPs.
Promoting Constructive Pre-Litigation Engagement
In an effort to foster more constructive engagement prior to litigation, the government will advocate for improved pre-litigation conduct. This will entail encouraging parties to engage in effective pre-action information exchanges and providing clearer guidance on existing alternative dispute resolution services.
In addition, practical licensing guidance will be developed in partnership with industry experts, particularly aimed at assisting businesses with limited experience in SEP licensing negotiations. This guidance will promote good-faith negotiations and establish clearer expectations for all parties involved.
Supporting Essentiality Assessment and International Collaboration
To improve the assessment of essentiality, the government will work closely with industry to promote transparency and enhance the quality of information available regarding existing services. Furthermore, the exploration of non-binding best practice principles for essentiality assessments and reporting will be conducted. However, the evidence gathered during the consultation did not justify the establishment of an IPO-run essentiality checking service at this time.
In terms of international engagement, the government aims to increase awareness of existing alternative dispute resolution options, broaden the IPO’s SEP Resource Hub, and continue to collaborate globally to aid businesses in navigating SEP licensing in various markets.
Balancing Innovation and Access to Technology
A well-functioning SEP licensing environment is essential for businesses to access standardised technologies while ensuring that innovators are fairly compensated for their research and development efforts. This is particularly relevant for significant UK sectors that depend on SEP-related technologies, such as telecommunications, which contributes over £40 billion annually to the nation’s GDP. As new technical standards emerge in areas like artificial intelligence, quantum computing, advanced connectivity, and semiconductors, the importance of fostering a robust SEP ecosystem will only grow.
By enhancing clarity and transparency in SEP licensing, the measures outlined in the consultation response aim to empower businesses to confidently utilise standardised technologies and facilitate quicker resolution of SEP disputes. These initiatives align with the government’s broader objectives of harnessing the economic potential of digital standards and reinforcing the UK’s influence in the global development of standards that will shape future technologies and markets.
Addressing Stakeholder Concerns and Future Steps
The government has acknowledged stakeholder concerns regarding the potential impact of injunctions during SEP licensing negotiations. However, the consultation did not yield sufficient evidence to suggest that the current framework is systematically hindering market entry, stifling innovation, or prompting businesses to withdraw products from the UK market. Consequently, the government does not deem it appropriate to impose further restrictions on the availability of injunctions in SEP disputes at this juncture.
Taking all evidence into account, the government has concluded that a targeted and proportionate course of action is the most suitable next step. Therefore, it will not pursue the introduction of a standalone Rate Determination Track or an essentiality checking service at this point but will concentrate on enhancing transparency and aiding all businesses in navigating SEP licensing more effectively.
In the immediate future, the Intellectual Property Office will commence further technical assessments regarding the feasibility and design of a potential FRAND Opinion Service. This phase will involve soliciting evidence and insights from businesses, professional advisors, academics, and other stakeholders with a vested interest.
Statements from the Intellectual Property Office
Adam Williams, CEO of the Intellectual Property Office, commented: “Standard Essential Patents are foundational to an increasing array of technologies that businesses and consumers depend on daily, from next-generation mobile connectivity to advanced manufacturing and medical technologies. These targeted measures are designed to enhance the functionality of the SEP ecosystem by eliminating unnecessary barriers, fostering better licensing negotiations, and enabling businesses to access standardised technologies while ensuring that innovation is duly rewarded.”
He further stated, “By improving transparency and facilitating earlier dispute resolution, we aim to ensure that the UK’s SEP ecosystem is beneficial for businesses of all sizes, offering a more predictable environment that nurtures innovation and investment within the UK.” The government is committed to ongoing engagement with stakeholders as these measures are developed and executed.
Consultation Insights and Future Initiatives
The government’s consultation on SEPs took place from 15 July to 7 October 2025, garnering 93 responses from various stakeholders, including businesses, representative organisations, legal and academic experts, among others with direct experience in SEP licensing. The consultation sought insights into the efficiency of the SEP licensing ecosystem for UK businesses, especially small and medium enterprises (SMEs), and whether targeted reforms could enhance transparency around pricing and essentiality, promote quicker resolution of licensing negotiations, and facilitate faster dispute resolution.
While responses broadly supported these objectives, stakeholders voiced differing opinions regarding the scale of the identified issues, the most suitable solutions, and whether government intervention was warranted. The consultation response confirms that the government will not introduce a standalone IPEC Rate Determination Track or an essentiality checking service at this time.
In the context of SEPs, FRAND refers to licensing terms that SEP holders commit to offer when their patented technology is incorporated into a technical standard. The forthcoming call for evidence regarding the feasibility and design of a FRAND Opinion Service will be led by the IPO and is set to begin shortly. This initiative will be published on the GOV.UK platform upon its launch.
The work surrounding SEPs is integral to the government’s broader strategy on digital standards, aimed at providing businesses with clearer access to and licensing of standardised technologies. This approach aligns with the government’s policy framework outlined in “Shaping Tomorrow: The UK’s Digital Standards Strategy 2026 to 2030,” which delineates how the UK can leverage the economic advantages of digital standards while navigating future challenges, reinforcing its longstanding leadership in a modern, digitally interconnected milieu.
In July 2024, the IPO launched the world’s first SEPs resource hub, a comprehensive collection of guidance and resources designed to assist UK businesses in navigating the SEPs landscape with greater confidence. The measures announced in the consultation response will include expanding this hub to ensure that all businesses can access clearer, practical information and support regarding SEP licensing.