From Zetex semiconductors
http://www.zetex.com/6.0/6-1-1a.asp

UK misses out on microchip invention

It was in the early 1950's, just after World War II. The British Royal Air Force needed to improve the reliability of their radar equipment. They gave the task to Geoffrey Dummer and his team of researchers, based at Malvern, Worcestershire, UK.

In 1952, Mr Dummer came up with the idea of putting a complete circuit on a half - inch square of silicon, in effect, creating an integrated circuit. Unfortunately, after the prototype failed, the British Ministry of Defence was unimpressed with the idea and took it no further.

Seven years later the American scientist, Jack Kilby, filed a patent for an almost identical device.

The rest, as they say, is history.

Almost all of today's integrated circuits are built on silicon wafers, silicon is inexpensive and abundant as it is produced from highly purified sand which gives near 100% pure silicon.
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Dummer presented his work at a conference in Washington DC in 1952. No UK companies were prepared to finance development.
Steve