UK space industry set to rocket with £240 million of investment
This was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government
Subject to the outcome of the high-level discussions at European Space Agency (ESA) Ministerial, the UK space sector expects significant returns…
Subject to the outcome of the high-level discussions at European Space Agency (ESA) Ministerial, the UK space sector expects significant returns from this further investment. Industry has already identified projects to the value of £1 billion that should follow in train from this additional funding.
The investment through the UK Space Agency will also secure the future of the ESA facility in Oxfordshire, including transferring ESA’s telecoms satellite headquarters to the UK and creating over 100 new high-tech jobs.
This will put Harwell at the centre of space technology and development, reinforcing the work of the Satellite Applications Catapult Centre and RAL Space. The hub will work with partners in the UK, across Europe and around the world to drive an ever-increasing range of exciting new opportunities for industry and academia.
Minister for Universities and Science, David Willetts said:
“This increase will bring the UK’s total investment in the European Space Agency to an average of £240 million per year over the next five years. This will allow the UK to play a leading role in the next phase of European space collaboration. It will drive growth, create extra skilled jobs and help the UK to realise its ambition to have a £30 billion space industry by 2030.”
The announcement comes ahead of the European Space Agency’s Ministerial Council - a two-day meeting that takes place every four years to reach key decisions on European space programmes and activities for the future. The meeting is due to start in Naples on the 20th of November and will be attended by David Willetts. During the proceedings the Minister will negotiate the UK’s commitment to individual programmes from the purse of funding announced today.
Jean-Jacques Dordain, Director General of the European Space Agency said:
‘With this substantial increase in investment, the UK is helping to promote competition in and encourage the growth of the European space sector by developing space capacities in the UK. In addition to the increased use of UK industry, our commitment to growing ESA’s facility here in Harwell confirms that the UK Space Agency is taking up more of a leadership role in key parts of the space sector.’
The new resources will be focussed on projects that will bring economic growth to the UK. One example is a new generation platform for telecommunications satellites. This will provide a 20 year horizon for new satellite sales that are competitive in the global market. Another is the next generation of weather satellites, where a UK contribution to ESA programmes will bring significant business through future orders.
Dr David Williams, Chief Executive of the UK Space Agency, said:
“Space is a key asset for the UK. The decisions made at the upcoming Ministerial meeting will shape the future of the European space sector, especially given the current economic downturn. By pledging an extra £300 million over the next five years, we can put the UK in a leadership role for several major ESA projects. That will ensure that UK industry continues to win lucrative space contracts over the next 5 to 10 years and builds on the momentum of the UK’s flourishing space sector.”
Andy Green, Chief Executive of Logica and co-chair of the Space Leadership Council:
“Industry believes that the announcement made today will play a key role in helping the space sector deliver its ambitious aims to grow the UK’s share of the fast-growing global space market, generating 100,000 new jobs by 2030.”
**Notes to editors
**1. The Chancellor’s speech at the Royal Society can be found here http://www.hm-treasury.gov.uk/speech_chx_091112.htm.
- The Government’s economic policy objective is to achieve ‘strong, sustainable and balanced growth that is more evenly shared across the country and between industries’. It set four ambitions in the ‘Plan for Growth’ (PDF 1.7MB), published at Budget 2011:
To create the most competitive tax system in the G20
To make the UK the best place in Europe to start, finance and grow a business
To encourage investment and exports as a route to a more balanced economy
To create a more educated workforce that is the most flexible in Europe.
Work is underway across Government to achieve these ambitions, including progress on more than 250 measures as part of the Growth Review. Developing an Industrial Strategy gives new impetus to this work by providing businesses, investors and the public with more clarity about the long-term direction in which the Government wants the economy to travel.
- BIS’s online newsroom contains the latest press notices and speeches, as well as video and images for download. It also features an up to date list of BIS press office contacts. See [http://www.bis.gov.uk/newsroom](http://www.bis.gov.uk/newsroom) for more information.
Notes to Editors
Name BIS Press Office Job Title
Division Department for Business, Innovation & Skills Phone
Name Sally Catmull Job Title
Division Department for Business, Innovation and Skills Phone 020 7215 6577 Fax
Published: 9 November 2012