The IPO is consulting on potential measures to address challenges in the UK’s Standard Essential Patents (SEPs) ecosystem. A patent that protects technology which is essential to implementing a technical standard (such as 5G) is known as a Standard Essential Patent (SEP).
However, there are well-known problems within the UK’s SEP ecosystem that may create barriers to innovation, especially for smaller businesses, when seeking to implement standardised technologies. These include the lack of transparency around SEP pricing, asymmetric information concerning SEP licensing, the essentiality of patents in technical standards and a growing and complex litigious environment. Resolving disputes can be costly and time-consuming – the recent Lenovo v Interdigital case reportedly cost £31.5 million.
Consequently, the IPO is consulting on policy options aimed at ensuring that the UK’s SEP framework operates more efficiently, supporting both patent holders and technology implementers. The proposals aim to reduce friction in licensing, achieve greater efficiency in dispute resolution, and deal more effectively with knowledge and information gaps between parties.
The proposed measures aim to enable businesses of all sizes, including start-ups and scale-ups, to navigate the SEP framework more confidently. They include:
- Specialist rate determination track: introducing a specialist track to provide licence rates for SEP portfolios on a case-by-case basis. This could increase consistency and transparency in SEP pricing. It could give businesses of all sizes a more efficient and cost–effective route to obtain a SEP licence rate.
- Mandatory provision of searchable information: requiring patent holders to disclose standard-related patent information to the IPO. This could help address the current lack of transparency around SEPs and licensing obligations.
The IPO is gathering further evidence on
- The use of pre-action protocols: It is seeking further evidence on pre-action protocols to establish if they work well in SEPs negotiations, by encouraging early disclosure of relevant information. This will help establish if a specialist SEP pre-action protocol may be needed in cases where negotiations are less likely to reach agreement and may move towards litigation.
- Essentiality checking solutions: Conducting a landscape review of essentiality checking solutions, to establish whether they are accessible for all parties, and establish if there is a case for government to introduce an essentiality determination opinion service.
- SEP remedies: The IPO seeks to better understand whether the patent framework provides adequate remedies for SEP disputes.
- Alternative Dispute Resolution (ADR) measures: It is also looking to understand the current provision of ADR services that can resolve SEP disputes, and the extent to which they are used and accessible for all businesses, especially smaller businesses.
The proposals outlined seek to address the diverse needs within the UK’s innovation ecosystem and take a balanced approach. By combining possible regulatory interventions with market-driven solutions, the IPO wants to create a framework that enhances the UK’s competitiveness while ensuring fairness and transparency across the technology value chain.
The consultation ends on 7 October 2025. The government says that it would especially like to receive feedback from businesses developing or using standardised technologies on whether the proposed measures could have an impact on their innovation, investment, and growth plans.
