Intellectual Property (IP) is a term given to ideas or other creative or innovative subject matter. An individual can own the rights to a certain piece of IP and thus control its use, or in some cases benefit from its application. There are four main types of IP; patents, trademarks, designs and copyright, but there are also other types of IP, such as trade secrets or the rights of plant breeders to register new plant varieties. You can find out more about the different types of IP on the government UK Intellectual Property Office.

Some types of IPR are owned automatically, as in the case of copyright, where the creators of a piece of literature, music, art or film automatically own the copyright to their material. For other types of IP the issue of who owns the rights could be more complicated. In the case of patents, this depends upon the situation in which the discovery or invention was made. If a researcher or student produces a potentially patentable or exploitable invention or discovery during their work at an institute or university, in most cases their employer would own the intellectual property rights. This means that the employer would assume the responsibility for gaining the IPR, and receive any benefits arising from these. However, many universities and institutes have revenue sharing or other policies to recognise and reward staff and students who perform research which produces IP-related revenue.

There is growing emphasis upon strengthening the links between universities and businesses, and a part of this is the commercialisation of ideas and discoveries arising from academic research. Most universities are beginning to recognise the benefits that can arise from this commercialisation and are working towards effective and responsible policies to manage it. Issues may come up when research in a university is performed in partnership with another external organisation or sponsor, but in general the rights to any IP will be agreed at the onset of the research. In response to the Lambert review on the collaboration between universities and businesses, a set of model agreements for this have been made available, which could be used at the outset of any collaboration, and make it clear who owns and has the right to exploit any IP arising from the research. In addition to this, as any knowledge regarding IP could be potentially exploitable, employees and students must keep secret any confidential information to which they have access as an employee or student of the university.

Extra income generated through IP is taxable. However, if this is paid through the university, they will probably deduct tax and national insurance contributions from the sum before paying you.
For useful information about the rights of university students and staff, regarding Intellectual Property, visit the Intellectual Property Office.

The British Library Business and IP Centre can help turn ideas into commercial reality with a number of resources and training materials including advice on IP as well as business planning and researching markets. The website also has a free online IP course.

There are also a number of specialist IP companies, which offer confidential consultancy services about the commercialisation of your ideas. These may be free initially but as your idea progresses you will need to pay for these services. One such company, IP21, also publishes a free Guide for Innovators and Designers.