We recognise that there could be advantages to establishing the new UK research funding agency inside UKRI: it would be quicker; facilitate its communication and collaboration with the existing research and innovation system; and reduce the risk of threatening the coherence of funding and research brought by UKRI. However, we note concerns that UK ARPA might not be able to operate effectively and with sufficient freedom if it was situated inside UKRI’s framework, for example, being unable to pursue ‘novel and contentious’ activities without case-by-case Ministerial approval. On balance, we agree with these concerns. To be effective, the new UK research funding agency must be able to operate independently and pursue ‘novel and contentious’ research without case-by-case Ministerial approval. If this is not possible within UKRI then there is merit in the Government establishing UK ARPA as a separate entity. Therefore, the Government must clarify whether it intends to establish UK ARPA as a separate body or an agency within UKRI. In doing so, it should be clear about whether this will require primary or secondary legislation and the likely timescales involved.