James Dyson on the government's tendency to fund software over hardware
25 September 2012 Last updated at 08:19 BST
The Royal College of Art (RCA) Dyson Building opened on Monday, housing 40 business incubators for young designers and engineers to cultivate British invention.
Participants will be given industry mentors and access to angel investors to help commercialise their ideas.
The James Dyson Foundation donated £5m to the RCA to fund the new building in Battersea.
Sir James Dyson spoke to the BBC's Rory Cellan-Jones about his frustration over the lack of government funding, and its general preference for software over hardware.