Scotland’s space sector follow-up: launch

This is a House of Commons committee report, with recommendations to government. The Government has two months to respond.

Second Report of Session 2024–25

Author: Scottish Affairs Committee

Related inquiry: Scotland’s space sector follow-up: launch

Date Published: Wednesday 3 September 2025

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Contents

Summary

1. Scotland’s satellite launch sector is emerging as a key component in the UK’s space ambitions. Five of the UK’s seven developing spaceports are located in Scotland—including the SaxaVord Spaceport in Shetland—reflecting Scotland’s strong positioning to serve a growing global demand for small satellite launches. Scotland’s unique location and existing expertise in building satellites makes it especially well-placed to offer end-to-end space capabilities—from manufacturing, to launching and use of satellite data. However, despite this strong potential, no vertical orbital launch has yet occurred from UK soil. Meanwhile competitor European launch sites like Andøya in Norway have made rapid progress, meaning Scotland’s ‘first mover’ advantage is in danger of being lost.

2. To date the UK Government has supported the sector through funding, regulation and strategic planning, including the National Space Strategy and Defence Space Strategy. However, considerable challenges remain. In particular, we are concerned about over-reliance on foreign partners, limited coordination across Government departments, and a lack of long-term strategic investment from the UK Government.

3. Whilst Scotland has the potential to become a global leader in small satellite launch, public investment in Scotland’s launch sector is relatively low compared to other European nations. This puts Scottish spaceports at a disadvantage. The sector’s potential will only be realised if the UK Government commits to long-term, coordinated support. We therefore call for more sustained financial backing and for the Government to act as a long-term customer to help secure the sector’s commercial viability.

4. We make a number of recommendations to help achieve this, including sustained investment and the UK Government becoming a customer of domestic launch services. We also call for improved cross-departmental coordination and for the Government to broaden its funding approach beyond research and development to include support for manufacturing and commercialisation.

Introduction

Overview of Scotland’s launch sector

5. Scotland’s space sector has become an increasingly important part of the UK’s broader space industry. Scotland’s vibrant space sector includes satellite manufacture, data collection and downstream analysis, research, and satellite launch capability, which is the focus of our inquiry. Scotland’s geography makes it a uniquely attractive location for launching satellites into space, as its high latitude offers easier access to polar and sun synchronous orbits. These types of orbit are highly prized for Earth observation missions, and also enable vehicles to achieve orbit while expending less fuel or when carrying heavier payloads.1

6. Currently, UK companies and academic institutions rely on sites in other countries to launch satellites into space. Glasgow builds more small satellites than any other location in Europe.2 This level of satellite manufacturing has created a greater demand for launches, leading to the development of high potential launch sites and launch vehicle manufacturers in Scotland.3

7. To date, a rocket has not been successfully launched into orbit from Western Europe.4 The first orbital launch attempt from Europe took place at Spaceport Cornwall in January 2023. In this case the Virgin Orbit rocket experienced an “anomaly” and failed to reach orbit. The rocket, named “LauncherOne”, was carrying nine small satellites.5 Industry stakeholders have argued that this lack of existing orbital launch capability within Europe could allow Scotland to “fill the void” and become a global destination for small satellite launch.6 Moreover, if Scotland is able to achieve launch capabilities, it could become an ‘end-to-end’ provider of satellite manufacturing, launching and data application.7

8. There are a few nascent spaceports in Europe, which are capable of hosting orbital launches. European competitors to Scotland’s prospective spaceports are Andøya Spaceport, based at the Andøya Space Centre in Norway, and Esrange Space Centre, based in Sweden. Both are aiming to achieve Europe’s first orbital launch,8 although Andøya is considered Scotland’s main competitor.9

Work of the predecessor Scottish Affairs Committee

9. In June 2023, our predecessor Committee opened an inquiry into Scotland’s space sector.10 The Committee took written and oral evidence, and conducted visits (including to the SaxaVord spaceport in Shetland) to explore the sector’s challenges and opportunities. The Committee’s inquiry was cut short by the dissolution of Parliament, due to the General Election, in May 2024. Whilst the Committee did not produce a report to conclude its inquiry, it did write to the UK Government to set out key messages it identified during its inquiry, and to highlight areas where action was most needed.11 In March 2025, the new Government responded to the predecessor Committee’s letter.12

Our inquiry

10. It was in this context that we launched our follow up inquiry in March 2025, focused specifically on Scotland’s launch capability. The inquiry is slightly narrower than our predecessor’s and has focused specifically on the progress of Scotland’s space launch sector. Although we did not issue a public call for written evidence, we have examined evidence that was submitted to the previous Committee’s inquiry and invited key stakeholders to update their submissions. For updated submissions, we sought views on:

  • The current key opportunities and challenges for Scotland’s space launch sector;
  • How Scotland’s launch capabilities can be developed for the future;
  • How Scotland’s space launch sector compares with European and global competitors;
  • The strategies Scotland’s space launch sector can use to differentiate itself and stand out from competitors, both in the European market and on a global scale;
  • How Scotland’s spaceports ensure a sustainable long-term pipeline of launch activity, and what government’s role in this should be;
  • To what extent the UK Government is gearing itself to take full advantage of the potential of Scotland’s space launch sector;
  • To what extent the UK Government’s National Space Strategy aligns with the priorities and needs of Scotland’s launch sector; and
  • The role the UK and Scottish Government’s play as a customer for launch services in Scotland.

11. We published six submissions to our inquiry, a full list of which can be found at the end of this report. We held two oral evidence sessions, in February and April 2025, speaking to launch companies, launch providers, regulators, academics and UK Government Ministers/officials. In these sessions we explored Scotland’s launch readiness, national security uses and support for Scotland’s spaceports. We would like to thank Ministers from both the UK and Scottish Governments and all other stakeholders who took the time to contribute written or oral evidence to this inquiry.

12. We would also like to thank the House of Lords Committee on UK Engagement with Space for collaborating with us to hold our second and final oral evidence session as a ‘joint’ meeting. We will follow that Committee’s work closely and look forward to its final report.

Box 1: The House of Lords’ Committee on UK Engagement with Space

In parallel to this inquiry, the House of Lords UK Engagement with Space Committee has an inquiry open that is looking into UK policies relating to space, and both the opportunities and challenges related to the UK’s engagement with space. The Committee is a special inquiry committee which investigates an issue for around a year. While our work slightly differs, there has been opportunity for both Committees to engage and collaborate.13

13. For this inquiry we also visited SaxaVord Spaceport in Shetland in May 2025. We met with representatives of the spaceport and were given a tour of the facilities. We also visited Norway in March 2025. While being hosted by HM Ambassador to Norway, we met with representatives of Norwegian Spaceport company, Andøya Space.14 We are grateful to all we met, who helped make our visits so informative.15

1 Potential of Scotland’s space launch sector

14. While space is largely a reserved matter in the UK, there are areas—such as infrastructure and economic development—which are devolved to support space launch capability. Within the UK Government, responsibility for space policy is split across a number of departments. The Department for Science, Innovation and Technology is the lead UK Government department for space policy. However, the Department for Transport (DfT) is responsible for regulating the space industry and also sets the regulatory framework for UK spaceport operations. The Ministry of Defence (MoD) also plays a role in relation to national security, defence space capabilities, and the protection of UK interests in space. In addition, relevant non-departmental bodies include the UK Space Agency (UKSA), which supports projects in the space sector and delivers space missions, and the Civil Aviation Authority (CAA), which has served as the UK’s spaceflight regulator (a role taken over from the UKSA in July 2021). Operating under the DfT’s framework, the CAA is responsible for licensing and overseeing commercial spaceflight activities.

15. Scotland’s space ecosystem has considerable scale and is expanding. According to the UK Space Agency, 228 space organisations in Scotland generated a combined income of £298 million in 2021/22, almost double the amount for 2016/17 in real terms (£164 million).16 Almost half (49%) of space jobs in the UK exist outside London and the South East, with 12% in Scotland.17 Within Scotland’s space ecosystem, the launch sector is emerging as a strategically significant and fast-growing component. Scotland benefits from a strong small satellite ecosystem, both in manufacturing and operations, which has helped attract launch service providers.

16. The development of launch capabilities in Scotland is seen as a vital step in capturing a rapidly growing global market for small satellite launches. Earth observation satellites already support critical sectors like telecommunications, navigation, and defence, and the falling cost of launching small satellites is fuelling demand. Industry stakeholders have highlighted both the commercial and strategic value of launch, with projections of over 10,000 small satellites to be launched globally in the next decade and a market for this type of launch worth over $28 billion.18 Scotland’s high-latitude geography and coastal access to low-traffic North Atlantic airspace also makes it uniquely suited for launching small satellites into polar and sun-synchronous orbits—key for earth observation missions. These advantages provide opportunity for launch vehicles to achieve fuel efficiency, heavier payload capacity and safer launch paths over low-traffic ocean areas.

17. Of the seven UK spaceports currently at some stage of development, Scotland is home to five. They are:

  • SaxaVord Spaceport, located in Unst, Shetland;
  • Sutherland Spaceport, located on the north coast of mainland Scotland;
  • Spaceport one, located in North Uist, Outer Hebrides;
  • Spaceport Machrihanish, located in Argyll, and
  • Glasgow Prestwick Spaceport, located in South Ayrshire.19

18. Of the above, SaxaVord is at the most advanced stage of development. However, a full launch attempt (either orbital or sub-orbital) has not yet been conducted at the site. Following the decision by the CAA to grant launch company Rocket Factory Augsburg (RFA) a launch operator licence in January 2025, it is expected that RFA will conduct an orbital launch attempt from SaxaVord this year.20 Other launch companies (including Orbex, Skyrora and HyImpulse) also aim to launch their rockets from SaxaVord.21 Professor Malcolm Macdonald, Director of the Centre for Signal and Image Processing at the University of Strathclyde, highlighted the benefit of SaxaVord’s status as a multi-operator site, as it helps reduce the risk associated with any single launch failure.22

Box 2: This timeline sets out recent key milestones relevant to the development of launch activity in Scotland (in particular, at SaxaVord Spaceport), and progress by companies seeking to develop a launch vehicle (i.e. a rocket) to undertake the first vertical launch from Scotland.

  • December 2023: The CAA grants SaxaVord a spaceport licence, making it the UK’s first licenced vertical launch site.
  • April 2024: The CAA grants SaxaVord a ‘range licence’, allowing it to control nearby sea and airspace during launches.
  • May 2024: RFA conducts its first engine test at SaxaVord, firing four of the nine engines on its RFA ONE launch vehicle.
  • August 2024: A test firing at SaxaVord by RFA at all nine engines on the RFA ONE launch vehicle results in a large explosion, leading to the company’s launch timeline being delayed.
  • January 2025: The CAA announces it has granted Rocket Factory Augsburg a spaceflight operator licence, allowing it to conduct launches of its RFA ONE rocket. This makes RFA the first vertical launch operator to receive such a licence in the UK.
  • February 2025: SaxaVord announces that they will be ready for launch by July 2025.
  • March 2025: SaxaVord and the West of Scotland Space Cluster announce a strategic partnership aimed at advancing Scotland’s position as a global leader in space exploration and technology.
  • August 2025: The CAA grants Scottish rocket maker, Skyrora, an operator’s licence to fly up to 16 missions a year from SaxaVord.

19. Multiple stakeholders have noted the potential for Scotland to develop so-called ‘end-to-end’ (from the very beginning of a process to the very end) capability in small satellite services.23 UK launch companies are also attracting international investment, therefore creating high-value jobs, and driving growth across the space sector.24 The UKSA said that developing launch capability alongside existing strengths would make the UK a “one-stop-shop” for satellite services and help attract new business and investment from around the world.25 The UK Government also noted that this economic opportunity is set to expand, with European satellite demand projected to reach $50 billion by 2023—highlighting that capturing even 2% of this market could generate $1 billion in revenue for UK launch providers.26

Space policy

20. The UK Government’s primary policy document on space is the National Space Strategy (NSS), published in September 2021.27 The strategy was jointly produced by what is now the Department for Science, Innovation and Technology and the Ministry of Defence. The aim of the Strategy was to establish a more integrated approach across military and space policy with a 10-year vision to “build one of the most innovative and attractive space economies in the world”.28 The strategy is broad, although some projects are identified as areas that the UK should focus on. This includes the UK becoming the first country in Europe to achieve small satellite launch capability and establishing itself as a leader in commercial small satellite launch.29

21. Since publication of the NSS, the UK Government has taken several steps to implement it, beginning with the publication of the Strategy’s follow up—The National Space Strategy in Action—in July 2023.30 The document outlined the next phases of the NSS, including the ambition to establish a responsive, reliable and safe domestic launch capability.31 In March 2024, the Space Industrial Plan followed, detailing how public procurement could be used to stimulate growth in the UK space sector.32

22. In addition to the UK Government’s responsibilities for space, some relevant powers which have a bearing on the sector are devolved. These include education, skills/training, and business support. The Scottish Government’s primary policy paper is Strategy for Space in Scotland (2021). It outlines a vision to make Scotland a global hub for commercial space activity. It also focuses on building “Europe’s largest launch capacity”, advancing green space technologies, and using satellite data for environmental monitoring, while also aiming to boost international trade and investment in the sector.33

Government investment

23. The UK Government supports the space sector through a range of mechanisms, including the purchase of ‘downstream’ services (such as geospatial data and satellite services for communication and positioning) and direct investment in ‘upstream’ manufacturing and facilities.34 The UK is also a member of the European Space Agency (ESA) and has been a significant contributor to its programmes and initiatives. The UK’s participation in the ESA is managed through UKSA and plays a vital role in advancing the NSS.35 This partnership provides the UK with access to European space infrastructure and fosters collaboration with other ESA member states.36 Financially, the UKSA contributes approximately 70-75% of its annual budget to ESA.37 Between 2023 and 2027, the UK has committed £1.84 billion to ESA, securing involvement in a range of current and future space projects that support the delivery of the NSS.38

24. The UK Government has made occasional investments in Scotland’s launch sector. Since 2019, around £97 million has been invested, with a further £37 million invested by the Scottish Government.39 Recent UK Government and UKSA investments in Scotland include:

  • The award of £10 million to SaxaVord Spaceport to support Rocket Factory Augsburg (RFA) to launch from their site;40
  • £20 million to the UK launch company, Orbital Express Launch Limited (Orbex), to build and launch a rocket from Scotland;41
  • £5 million for a suborbital rocket test at SaxaVord Spaceport by launch company, HyImpulse;
  • £3.5 million for a project led by data company, Spire Global, and supported by STAR-Dundee for further developments of a novel instrument that could improve weather forecasting; and
  • £1.9 million for electronic parts supplier, Smiths Interconnect, to enhance its space qualification laboratory in Dundee which has already catalysed £3.5 million in follow-on investment to date.42

25. Stakeholders we heard from welcomed the financial support provided to date by the UK Government. For example, Phil Chambers, CEO of Orbex, told us that the £20 million in UK Government funding had been instrumental in securing over 150 high-tech jobs in northern Scotland. Mr Chambers described this investment as a strong signal to Europe and the world that the UK is committed to establishing a sovereign launch capability.43 However, launch companies such as Lockheed Martin expressed the need for financial support from the UK Government to be “continued”.44 Scott Hammond, Deputy CEO of SaxaVord, also expressed disappointment that the Government’s plans to boost growth (outlined by the Chancellor in January 2025) did not include any plans for space.45

26. While financial support from the UK Government has been helpful, concerns were raised throughout our inquiry about whether the UK’s comparatively low levels of public funding, especially when measured against higher investment by other European nations, will be sufficient to support Scotland’s launch sector in an increasingly competitive market.46 In comparison to other spaceports and launch providers around the world, which are often significantly subsidised by their respective governments, it could be argued that the UK provides “’the least support” to its spaceports.47 Lockheed Martin, which is involved in the development of UK space launch technologies, said that across the globe “most established spaceports are government run and/or backed” and these co-investments maximise “the chances of launch facilities becoming operational for first flight and being able to sustain their operations over an extended period to capture the growing global backlog of spacecraft”.48

27. Orbex told us that they and the wider sector face a competitive disadvantage compared to European partners, who receive substantially more government support.49 Orbex cited 2023 OECD research (published by UKSA) which highlighted that France is investing four times more in civil space projects than the UK, with Italy (3x), Germany (2x), and Belgium (2x) also outspending the UK by significant margins.50 They said “a modest increase in UK Government investment in space can take the sector a long way” which would help them “gain a comparative advantage against European partners and further than that, be competitive at a global scale”.51 Orbex is concerned that the apparent “disparity in government support creates an uneven playing field, making it more difficult for them to compete with better-funded European counterparts”.52

28. Furthermore, Orbex, has called for greater investment in the UK Space Agency.53 Orbex said that with greater investment, HM Treasury could help catalyse private capital and ensure Scotland and the UK remains competitive in a rapidly evolving industry.54 Orbex argued that if this commitment does not happen, Scotland risks being left behind and “losing out on economic, security, and technological advantages to better-prepared global competitors”.55

29. There is also concern about the industry’s ability to meet growing demand for launch services. Lockheed Martin observed that there is “still a global shortage of launch capacity”, presenting a “significant” opportunity for Scotland to position itself as a key player in the sector.56 Lockheed Martin cited earlier analysis by Deutsche Bank which assessed a ~20% compound annual growth rate for the launch market by 2030, while also warning that the market would be supply-constrained through most of that period.57 Lockheed Martin also said that although the sector—including in Scotland—has growth potential, it is currently hindered by structural limitations—notably a lack of diversity, scale and resilience, including at its highest level. Such limitations, they argued could restrict both investment inflows and export opportunities.58

30. Orbex highlighted that UK-based businesses face difficulty in securing the necessary financial backing to move from development to full-scale operations.59 They proposed that the UK Government explore the National Wealth Fund (NWF) as a possible funder of space launch companies as this would allow the Government to foster economic growth, support job creation in high-tech and maintain the UK’s competitiveness in the “global space race”.60 CEO of Orbex, Phil Chambers, also echoed this when giving evidence to the Treasury Committee in June 2025. Mr Chambers argued that the NWF should be transparent about the likelihood of some businesses failing and, rather than criticising individual failures, a “long-term view” should be considered—focusing on overall returns, job creation and strategic national capabilities such as sovereign launch.61 He stated:

Yes, some companies will fail, and we need to learn from those things, but I can tell you one thing for sure: if we don’t invest in sovereign launch in the UK, it will fail. That is the alternative.62

31. Representatives at SaxaVord outlined opportunities for the Government to support the growth and development of spaceports with emphasis on the potential benefits of designating a spaceport as a freeport.63

Box 3: What is a freeport?

Freeports (known as Green Freeports in Scotland) are special areas created by government to increase investment into parts of the country that have historically missed out on such an opportunity.64 Freeports benefit from incentives such as excellent sea and air port infrastructure and draw on the strong industrial heritage of their regions, helping to foster a competitive business environment and generate high-quality jobs for local communities.65

There are currently 12 freeports in the UK: eight in England, two in Scotland and two in Wales.66

Mr Hammond said that he would like to see the UK Government look into the idea of designating a spaceport as a freeport.67 On our recent visit to SaxaVord, representatives also told us that a spaceport freeport would be beneficial and could draw investors and customers to Scotland.68

32. During our visit to SaxaVord, support for infrastructure also emerged as a key theme. SaxaVord representatives, along with RFA, highlighted the critical importance of infrastructure investment from both the Scottish and UK Governments. RFA stressed that such support is essential for their business case.69 The economic benefits for the local community were also underscored. SaxaVord representatives pointed to the site’s potential to bring more jobs and income to Shetland.70 Similarly, in February 2025, Mr Hammond told us that SaxaVord is working on the creation of high-value jobs, and this will only develop if there is an increase in both the capacity and the number of flights to Shetland.71

33. In August 2025, the CAA granted Scottish rocket maker, Skyrora, an operator’s licence to fly up to 16 missions a year from SaxaVord spaceport.72 The current licence is limited to sub-orbital launches of the 11m tall rocket.73 However, despite Skyrora becoming the first UK-based rocket company to receive a launch operator licence, the company have indicated it may need to look abroad for launch sites for its vehicle, due to the limited availability of domestic launch facilities.74 The announcement of Skyrora’s licence marks a significant milestone. The company’s need to consider overseas options for launch demonstrates the risk that Scotland may not be able to capitalise on its geographical and regulatory advantages, unless domestic capabilities are rapidly scaled up to meet industry demand.

34. The Scottish Government’s Minister for Business and Employment, Richard Lochhead MSP, said the Scottish Government aims to secure £4 billion of the global space market. Minister Lochhead also highlighted that Scotland is rapidly emerging as a European leader in the space sector, with a 25% rise in space-related companies and a 65% increase in sector income between 2023–24.75 The UK Government has acknowledged the value and opportunity for growth in the sector and Scotland’s economy in general. For example, the UKSA stated that building a sustainable launch sector is a “key driver of regional economic growth, creating hundreds of high-skilled jobs and prosperity”.76 The UK Government also stated that it is proactively supporting the sector by investing over £30 million and working closely with launch companies to deliver the first Scottish launches.77

35. The UK Government said Scotland’s unique geographic advantages are already attracting investment from across the globe.78 However, concerns were raised about the broader challenges facing Scotland’s launch sector.79 In oral evidence to us, Chris White-Horne, Interim Space Director at the Department for Science, Innovation and Technology (DSIT), emphasised the UK’s strategic advantages, including Shetland’s geography, but also highlighted an ongoing challenge of scaling innovative ideas into commercial successes.80

36. conclusion
The global shortage of launch capacity combined with Scotland’s rapid sectoral growth and increasing international interest presents a time-sensitive opportunity that must not be missed. The Government must realise the massive potential for Scotland’s burgeoning space sector to contribute to the UK’s economic growth and must provide a level of support commensurate with this potential.

37. conclusion
Scotland is uniquely well-placed for launch because of its geographical advantage for polar orbits. SaxaVord is poised to provide a long-term sustainable launch capacity for the global market. Some limited UK Government funding and endorsement provided by the UK Government proactively championing the sector has helped unlock the private finance and international visibility needed to enable the sector to reach this point.

38. conclusion
However, it is clear that the UK is falling behind its European counterparts in terms of public investment, leaving Scottish spaceports at a competitive disadvantage in a fast-moving global market. Without sustained backing from the Government—particularly in infrastructure—Scotland risks missing a generational opportunity to lead in space launch. To fully realise this potential, the UK Government needs to go further and faster. The Government must move beyond cursory support and commit to long-term coordinated investment that matches the ambition and momentum already demonstrated by the sector.

39. recommendation
To ensure the long-term success and competitiveness of launch sites in Scotland’s space sector, we urge the UK Government to incorporate space funding within its broader economic growth ambitions. This must go beyond ad hoc funding and reflect a sustained, strategic commitment—providing the clarity, confidence, and stability that the industry needs to scale capabilities and attract international customers. A clear signal of long-term government support will not only level the playing field with better-funded European counterparts but also position the UK as a serious contender in the global launch sector.

40. recommendation
The UK Government should examine the case for designating all spaceports as freeports, to spur further growth of the sector and provide a greater opportunity to attract investment, talent and international partnerships.

International perspective and first mover advantage

41. In the race to achieve Europe’s first orbital launch, SaxaVord Spaceport faces strong competition from Esrange Space Centre in Sweden and, most notably, Andøya Spaceport in Norway.81 Throughout our inquiry, Andøya has consistently been identified as SaxaVord’s primary rival, both in evidence and in SaxaVord’s own materials.82 Both sites offer strategic locations for polar and sun-synchronous launches, with Andøya benefiting from a large impact zone over the Norwegian Sea83 and SaxaVord offering clear northbound trajectories.84

42. During our visit to Norway in March 2025, we met with representatives from Andøya, who highlighted the spaceport’s development, its role in national security, and its integration with the Norwegian defence sector. Discussions also covered licensing, environmental considerations and international collaboration.85 That same month, Germany’s Isar Aerospace launched a rocket from Andøya, achieving 30 seconds of flight—an important milestone that brings Norway closer to securing the first orbital launch from mainland Europe.86

43. We have heard from launch companies about the strategic advantages of Scotland’s geographic location, combined with the UK’s strong regulatory framework.87 Colin Macleod, Head of the UK Space Regulation at the CAA, reinforced this, stating:

From my perspective, the evidence from the engagement I have with rocket companies from around the world is that they are encouraged to come to the UK, in large part because of our regulatory system and the opportunities afford to them by the SaxaVord spaceport and the whole UK space ecosystem.88

44. Despite these advantages, stakeholders warned that underinvestment could hinder the UK’s ability to capitalise on early market opportunities—especially as countries like the US, China, France and Germany are making substantial investments to capitalise on the growing space economy.89 Nik Smith, Director at Lockheed Martin, stressed the need to remain globally competitive, while Orbex cautioned that if the UK Government fails to take decisive action to support the space sector, the UK—particularly Scotland—”risks falling behind in a global industry that is growing at an unprecedented pace”.90 These concerns align with our predecessor Committee’s conclusion that complacency is not an option. In a letter to the UK Government, they stated:

We have heard that other countries are investing in their own sectors, and the UK Government cannot risk Scotland losing its competitive edge. As AAC Clyde Space put it to us, unless the UK follows other countries in investing in space, “we risk industry falling behind and losing competitiveness built over decades”.91

45. Professor Malcolm Macdonald from the University of Strathclyde also emphasised the importance of government support to allow the Scottish launch sector to stay competitive. He told us that while the UK once held a first-mover advantage in several areas, it “has not necessarily been sustained in the way that it could have been”.92 He also added:

As we move forward, we want to make sure that, where we have that innovative advantage, we do not lose it again. That is also an opportunity for the sector to capitalise on where we have the innovative lead and the capabilities, making sure that the sector is supported to realise the potential it has.93

Academics from the University of Strathclyde also highlighted the importance of long-term capability over early wins. Professor Malcolm Macdonald told us a first-mover advantage is not as important as having a sustained capability,94 a view also echoed by Dr Christie Maddock, who emphasised that a reliable flight record matters more than being first to launch.95

46. Professor Macdonald also stressed that Europe must support multiple spaceports as relying on a single site would leave the continent facing challenges. He argued that governments across Europe—including the UK Government—must work together to sustain sites such as a SaxaVord, Andøya and Esrange, coordinating efforts through bodies such as the European Commission and the European Space Agency (ESA).96 Professor Patrick Harkness from the University of Glasgow stressed the importance of identifying and investing in niche areas in which Scotland excels (i.e. small satellites and launchers), rather than trying to compete in every area within the industry.97

47. Daniel Smith, Scotland’s first International Trade Envoy for Space, said that the UK is aiming to position itself in a global niche of small-scale sustainable launch. However, he cautioned that the Government’s focus on a single spaceport (SaxaVord) may be short-sighted, especially given that spaceports could be considered Critical National Infrastructure.98 In June 2025, when asked about international competition and Scotland’s first mover advantage in space launch, Secretary of State for Scotland, Ian Murray MP, focused on SaxaVord, highlighting its advantages and the need to exploit the spaceport to “keep the first mover advantage”.99

48. The UK Government has acknowledged both the strengths and the challenges facing Scotland’s launch sector as it seeks to remain internationally competitive, particularly considering funding. For example, while conscious of constraints on the public purse, Sir Chris Bryant MP, Minister of State for Data Protection and Telecoms, told us:

It may be that launch is such a specific advantage that we have over anybody else in Europe that it will play well for us, even if we do not have the same amount of money to put on the table as everybody else.100

In written evidence, the UK Government also said that the convenience of Scotland’s small satellite ecosystem—and the resulting interest from launch service providers—positions Scotland to potentially offer a full end-to-end launch service.101 However, it cautioned that this will not be enough to ensure that the Scottish launch sector remains internationally competitive.102 This aligned with academic perspectives and research by the UK Government, which found that most customers want to see a track record of 3-5 successful launches to have confidence in an operator.103

49. conclusion
Scotland has a first mover advantage for achieving Europe’s first orbital launch. However, this early advantage is in danger of being lost, as competitors make rapid progress. If Scotland is to compete, and ultimately succeed, in the race to provide sustainable launch operations, the UK Government must realise that complacency is not an option and do everything it can to strengthen its support for and cooperation with the sector.

50. conclusion
There is enough custom for space launch services—both within Europe and globally—to sustain multiple spaceports across the UK and Europe. We therefore do not consider UK spaceports and Andøya to be existential threats to one another, but rather as facilities that can complement each other within a growing European launch sector. We encourage the UK Government to support a diverse spaceport network, whilst also fostering international cooperation to ensure sites like SaxaVord can thrive through regular and consistent launches.

2 National security and geopolitical advantages

51. Several witnesses highlighted the increasing global uncertainty but also the growing strategic importance of space as a domain for national security and geopolitical influence.104 This chapter explores the imperative for the UK to develop sovereign launch capabilities, underscoring the risks of over-reliance on foreign providers and the need for defensive launch solutions. It also considers how Scotland’s commercial space sector can support UK defence objectives and examines the role of international partnerships.

National sovereignty and security

52. In February 2022, the UK Government published the Defence Space Strategy. The Strategy stated that “as the UK seeks to develop its own small satellite capabilities, we will continue to explore the Defence benefits offered by this emerging market”. It also said that the Ministry of Defence (MoD) is committed to “continue to support the UK Space Agency (UKSA)” in the advancement of UK-based space launch activities.105

53. We heard about the critical importance of protecting the UK’s access to space for both commercial and defence purposes.106 Dr Pamela Smith, Vice President of Future Programmes at satellite manufacturer, AAC Clyde Space, emphasised that demand for UK launch “primarily has to come from a sovereign capability” which must be “largely driven by defence capability in the UK”.107 While acknowledging the value of the commercial market, Dr Smith said it is “almost a secondary benefit to a domestic, institutional mission capability”.108 The University of Strathclyde told us:

The UK Government should seek to, as part of the National Space Strategy and the Defence Space Strategy, secure assured access to space: providing an end-to-end capability without dependencies on allies, that allies can rely on.109

However, the University of Strathclyde also noted that Scotland’s launch sector, despite having capabilities well-suited to defence needs, is less engaged with defence and security industries compared to other parts of the UK, therefore limiting its potential to benefit from growing defence-related space investment.110

54. Industry stakeholders also echoed these concerns.111 Lockheed Martin recommended that the Ministry of Defence (MoD) invest in “Responsive Launch” capabilities.112 This is the ability to deploy satellite launches into orbit at extremely short notice (within days or weeks) in response to threats or intelligence needs.113 Other launch companies agreed that rapid launch capabilities are vital for both commercial resilience and defence readiness.114 Alan Thompson, CEO of Skyrora, specifically highlighted that responsive launch could present an opportunity for the UK to compete with foreign partners, while also reducing dependence on fixed infrastructure tied to specific geographic locations.115

55. In oral evidence from February 2025, Scott Hammond, Deputy CEO of SaxaVord, warned that the UK needs sovereign access to space to avoid overreliance on US providers like SpaceX for satellite launches.116 Mr Hammond argued that this dependence risks national sovereignty and access delays, claiming that most US launches are “heavily booked” until 2030.117 Doug Liddle, Chair of trade association UK Space, clarified that while US launch slots are in high demand, many still have capacity via brokers.118 However, he agreed that relying on US providers can lead to delays, especially when US Government payloads take priority.119 He also stressed the importance of UK-based launch sites, such as Shetland, to ensure that the UK has “free and ready access to launch” as a nation, rather than being dependent on others.120

56. The Scottish Government said it sees global uncertainty as an opportunity for the commercial launch sector to meet defence demands, particularly in enhancing sovereign capability.121 The Prime Minister also underscored the importance of aligning Scotland’s commercial space sector with UK defence and security objectives.122 In a Liaison Committee evidence session on 8 April 2025, he indicated that the 2025 Strategic Defence Review would focus on integrating defence spending with growth, with space recognised as a key area of national importance.123 The 2025 Strategic Defence Review identified space as a “critical national infrastructure” sector and a site of increasing competition.124 It stressed the need for assured access to space and improvement in defence capabilities to safeguard national interests.125

57. The UK Government also mentioned the growing interest in responsive launch. In written evidence, it said that it is working with allied nations, particularly through NATO, to ensure that Scotland is “able to access opportunities for responsive launch missions in future as the technology matures”.126 Concerns about overreliance on international partners were also raised. In oral evidence, Sir Chris Bryant MP, Minister for Data Protection and Telecoms, DSIT, stressed the need for the UK to reduce dependency on allies, particularly the US, and instead build additional domestic capacity.127

58. conclusion
There is a clear consensus among stakeholders that the UK must develop and maintain a sovereign launch capability to secure assured access to space. This is critical for national security and defence resilience. Without decisive Government support, the UK risks becoming dangerously dependent on foreign launch partners. This over-reliance could critically undermine the UK’s defence and security infrastructure.

59. conclusion
The current geopolitical climate demonstrates the importance of supporting and securing sovereign space capacity—particularly through responsive and defence ready infrastructure—if not, its ability to protect national and European security interests could be severely compromised.

60. recommendation
The UK Government should prioritise investment in Scottish-based launch sites in order to reduce dependency on foreign providers. The Government should also diversify launch partnerships and build domestic capacity to avoid being deprioritised by foreign launch providers.

61. recommendation
The Ministry of Defence must work with the UK Space Agency and Scottish stakeholders to integrate defence priorities into the launch sector. This should include supporting Scottish SMEs in defence-related projects, creating a pipeline of innovation and capability that aligns with the Defence Space Strategy’s goals.

62. recommendation
The Ministry of Defence should prioritise the procurement of homegrown responsive launch services from domestic UK providers that can deploy satellites within days or weeks in response to emerging threats.

International partnerships

63. Industry stakeholders provided evidence highlighting the strategic importance of international collaboration in space.128 From academic experts and launch companies to government officials, there is a consensus that Scotland’s space sector will strengthen with deeper cooperation with European and global partners.129

64. Professor Macdonald said Europe can only have assured access to space if the UK has a strong skills pipeline and European governments work together.130 The University of Strathclyde also said that assured access to space “requires multiple providers of services and capabilities to ensure tactical responsiveness”. It argued that this should be pursued alongside “enhanced defence spending and deeper defence co-operation with European partners”, while covering workforce planning, access to space, rapid-response capabilities, and assets on-orbit—not just launch.131 Lockheed Martin also suggested that government departments should help Scottish launch facilities to build a pipeline of customers from among international launch providers.132

65. A one-off session on defence space held by the Defence Committee in May 2025 discussed the idea of the UK being part of the EU defence space ecosystem.133 Gabriel Elefteriu, Deputy Director for Defence and Space at Council on Geostrategy, said he does not think the UK has that opportunity—although current conversations about the UK doing this are very “basic” and generalised at the moment.134 Juliana Suess, Research Associate at the German Institute for International and Security Affairs agreed and said that, due to the UK’s departure from the EU and the EU’s independent space defence ambitions, the UK currently has no clear role in the EU’s space ecosystem.135 She did however add that NATO offers a more realistic path for UK collaboration.136

66. The Strategic Defence Review 2025 stated that the space sector presents significant opportunities for defence-led exports and international partnerships, particularly in Europe, Asia and the Middle East.137 It also said that support for exports and the development of capability can strengthen the UK’s position within NATO, deepen alliances, grow a critical defence industry, and boost jobs, skills and economic growth.138

67. In written evidence, the UK Government stated that both the UK and Scottish Governments are “highly unlikely to provide sufficient demand to sustain the Scottish launch sector in and of themselves”.139 However, it emphasised that the MoD supports the UK’s launch ambitions through collaboration with international partners. This includes defence payloads via Virgin Orbit launch from Spaceport Cornwall and a planned Government pathfinder mission from SaxaVord.140

68. The UK Government also said that the MoD are playing a leading role in initiatives such as NATO’s “STARLIFT” programme, with the aim to enhance industrial capability and access to space through responsive launch options from allied nations.141 According to the MoD, this will help create opportunities for British industry and strengthen the UK’s position in the global space sector.142 It also argued that collaboration between government, industry and international entities is crucial for building a scalable and sustainable launch capability.143

European Launcher Challenge

69. On 24 March 2025, the European Space Agency (ESA) published a call for proposals for its European Launcher Challenge (ELC).144 The challenge is a competitive tender initiative offering up to €169 million per company145 and has two distinct components:

  • Component A: launch services for ESA and other European institutional customers to be performed in the period 2026–2030.
  • Component B: launch service capacity upgrade demonstration, including at least one flight demonstration of the upgraded launch service capacity planned to be performed by 2028.146

The ESA state that the ELC is a “unique opportunity to participate and play an important role in shaping the future of Europe’s access to space”.147

70. Ruari Brooker, Business Development Manager at HyImpulse, highlighted a “big push” from ESA members to try and build a commercially successful European sovereign capability and argued that the UK’s participation in the ELC is key to securing the future of the launch industry.148 Echoing this, Orbex—one of only five private firms in Europe contracted to launch satellites for the ESA, and the only UK company on that list—urged the UK Government to invest in the ELC to secure a “sovereign, sustainable and commercially viable launch capability” for the UK,149 a recommendation also supported by Professor Macdonald, who called for greater UK engagement with the ESA and the challenge.150

71. The UK Government highlighted the potential of the ELC as a major source of institutional demand, with the UKSA advocating for UK interests in discussions with the ESA and promoting continued UK participation.151 However, while describing the ELC as likely to be “instrumental” in helping European launch providers expand to medium-lift vehicles—with acknowledgement that the UKSA is working with Scottish launch providers interested in the programme—the Government has stated that it remains “unclear” whether Scottish spaceports will benefit directly from the ELC.152 This uncertainty may prompt further assessment of how the programme evolves and how effectively Scottish interests are represented within it.

72. In July 2025, the European Space Agency announced that the following five companies had been preselected to move forward in the competition to tender for the ELC:

  • Isar Aerospace;
  • Maiaspace;
  • Orbital Express Launch (Orbex);
  • PLD Space; and
  • Rocket Factory Augsburg.153

73. conclusion
While Scotland has great potential to be part of a sovereign launch nation and a collaborative European partner, it is increasingly clear that space ambitions cannot be fully fulfilled in isolation. We are pleased to see that space has been included in the 2025 Strategic Defence Review, recognising its growing importance to national security. However, as highlighted in the review and in the evidence we have received, the UK’s long-term space ambitions must be grounded in deepened partnerships. To secure long-term resilience, economic visibility and geopolitical relevance, a cooperative approach must be embraced that aligns with European partners and institutions.

74. recommendation
In its response to this report, the UK Government should set out how it is actively pursuing and deepening international partnerships—particularly with European nations and institutions such as the European Space Agency—to ensure resilient and assured access to space.

75. recommendation
In response to this report, the UK Government should also set out how it will support companies operating in Scotland in succeeding in the European Launcher Challenge. This should include specific measures on how it will commit to the initiative. The UK Government should write to the Committee to provide an update by Spring 2026.

3 Strengthening the UK Government’s role in space

Strategy

76. Strategies such as the National Space Strategy (NSS) and its 2023 follow-up outlined how to make the UK a global leader in space by growing the economy and enhancing national security to help the UK become the first country in Europe to achieve small satellite launch from a UK and establish itself as a leader in commercial small satellite launch. Despite these strategic efforts, experts in the sector have since called for the Government to set clearer long-term investment goals.154 Dr Christie Maddock from the University of Strathclyde highlighted the need for a very clear long-term investment goal or strategy.155 Dr Maddock said that if the UK wants to stay “competitive in the long term”, a 10–year-plus plan that includes investment is needed as it is the “only way to develop technologies for space and then see returns”.156 Professor Harkness from the University of Glasgow also agreed with this point and added that there is a need for Scotland’s launch sector to be a sustainable industry with an economic and skills pipeline that exists in the UK.157

77. Lockheed Martin also recommended further steps for the UK Government, including:

  • enabling participation in large-scale national programmes, especially where the Ministry of Defence (MoD) has the largest programme;
  • establishing additional national space initiatives alongside other international cooperation (i.e. with the European Space Agency, the US and Australia); and
  • developing and investing in a national ‘Space Security’ programme in partnership with industry to ensure space systems and services are assured.158

78. Since our evidence sessions concluded for this inquiry, the Government’s new Industrial Strategy has been published. The strategy is a 10-year plan for the UK economy which has been eagerly anticipated by industry stakeholders.159 During our inquiry, companies like Lockheed Martin and Orbex advocated for space to be included in the strategy to provide clarity, attract investment and “enhance the UK’s position as a leader in the sector”.160 Orbex also argued that aligning industrial policy with national economic and security objectives will drive long-term growth and global competitiveness across the UK’s manufacturing and technology sectors.161

79. The new strategy includes space under “Advanced Manufacturing”, alongside aerospace, automative, agri-tech and others.162 It also lists space among frontier industries with both civil and military applications and aims to prioritise plans for these industries by:

  • Enhancing cross-government coordination;
  • Increasing industry involvement;
  • Improving governance and information sharing; and
  • Nearly doubling annual business investment in Advanced Manufacturing from £21 billion to £39 billion by 2035.163

Alternatives to Research and development funding

80. The UK Government has been instrumental in developing space technology through research and development (R&D) funding.164 Orbex argued that increased Government support for space R&D would “reinforce Scotland’s position as a leader in innovation”.165 Lockheed Martin recommended that the UK Government create funding mechanisms that support manufacturing, productisation and commercial activities, rather than just R&D.166

81. The 2025 Industrial Strategy commits £2.8 billion over five years to R&D in the Advanced Manufacturing sector, which includes space.167 However, when giving oral evidence, officials from the UK Government and UKSA suggested the idea of space investment being allocated to areas other than R&D.168 For example, Matthew Archer, Missions and Capabilities Director for Launch, from UKSA told us that alternative investment approaches, such as equity-type interventions or commercial contracts, have also delivered positive outcomes.169 Chris White-Horne, Interim Space Director at the Department for Science, Innovation and Technology, explained that Scotland’s space sector predominantly comprises SMEs for whom R&D grants alone are insufficient to support the scaling up in size and operations in the long-term. He emphasised the importance of direct investment, service procurement and strong institutional partnerships in helping companies achieve commercial sustainability.170

82. conclusion
The UK’s ambition to become a global leader in space, as outlined in the National Space Strategy, is clear—but achieving this vision requires more than ambition. It demands a coherent, long-term investment strategy, stronger alignment with the devolved administrations and funding that supports each area of space innovation—from research and development through to manufacturing and commercialisation.

83. recommendation
The sector’s prioritisation within the Industrial Strategy, must be underpinned by a long-term and strategic approach to investment in the sector, which is also aligned with the objectives of the National Space Strategy and Defence Space Strategy. Such an approach would provide stakeholders with greater confidence, stability with existing policies and a clearer roadmap for long-term growth.

84. recommendation
In its response to this report the UK Government should commit to producing a clear plan—including timescales and funding mechanisms—for broadening its space sector support beyond research and development. This should include targeted investment in manufacturing, productisation, and commercialisation. Funding in these areas will enable UK-based launch and manufacturing companies—particularly Scottish providers—to scale from development phases to full operational capability, which is essential to establish the sector’s readiness and reinforce the UK’s position as a leader in the space economy.

The UK Government as a customer

85. The National Space Strategy outlined the UK Government’s ambition to “redefine” its relationship with industry—shifting from being a “primary funder” to an “influential customer”, as the space sector matures.171 Complementing this, the Space Industrial Plan (jointly published by DSIT and the MoD) outlined how public procurement can be used to stimulate industry growth, signalling where the Government expects expansion and where it intends to focus investment.172

86. We heard that the UK Government must be a stronger customer of launch capabilities.173 For example, the University of Strathclyde told us that developing a sustainable UK launch capability without a sustained Government customer is “probably unprecedented”.174 They additionally pointed to Norway’s approach, where the Norwegian Space Agency has contracted Isar Aerospace to launch two domestically built satellites from Andøya Spaceport in 2028—an example of how public contracts can help build commercially viable and scale-able services and secure assured access to space.175 If the UK Government were to follow suit, this could be analogous to the approach taken in competitor nations.176

87. Companies also expressed a preference for contracts over grants, arguing that service-based procurement provides more sustainable support for growth.177 For example, Dr Pamela Smith, Vice President of Future Programmes at AAC Clyde Space, told us how Government procurement, such as purchasing Earth observation data, can stimulate the entire value chain.178 She also said that such demand drives the need for more satellites, which in turn supports the case for domestic launch services.179

88. Industry bodies such as ADS Group and UKSpace also argued that having Government act as an “anchor customer” could encourage inward investment.180 However, stakeholders raised concerns about the decentralisation of procurement.181 In its July 2024 report, the National Audit Office (NAO) recognised that the UK Government was working to change its relationship with the space industry, so that it becomes a customer rather than a direct funder.182 The NAO said, however, that the “government’s space procurement is decentralised” at present, with “limited awareness of opportunities across departments.183 It also added that DSIT recognised it needed to “improve the coherence and efficiency of all government space procurement and become a more intelligent customer of space technology”.184 Orbex have also called for the centralisation of launch procurement through a dedicated team and the establishment of a long-term pipeline of procurement opportunities.185

89. Professor Macdonald from the University of Strathclyde also suggested that the Government could utilise the support of academia to become a more “informed customer”, helping to address internal skills gaps and enable more cost-effective procurement of public services.186 Similarly, in its letter to the then-Secretary of State for Scotland, the Rt Hon Alister Jack MP, and the then-Minister of State for DSIT, Andrew Griffith MP, our predecessor Committee highlighted the benefits of the UK Government becoming a customer. It stated:

Government becoming a customer of the Scottish launch sector would send a clear demand signal that the sector is viable, and encourage the development of a more diverse customer base in the coming years.187

In its response to the letter, the current UK Government stated that it will continue to consider how it can best support the sector and promote international demand.188

90. The UK Government acknowledged calls from industry stakeholders for it to become a customer and participate in procurement. For example, when giving oral evidence, Sir Chris Bryant MP, Minister for Data Protection and Telecoms, recognised this but said the UK would need to maintain a “mixed economy” of both grants and contracts.189 However, Chris White-Horne, Interim Space Director at DSIT, highlighted the challenges in positioning Government as a customer.190 He said that different departments currently procure space services independently and therefore suggested that aggregating demand could improve efficiency and impact.191 Mr White-Horne also raised the question about where Government investment should be focused (whether on payloads, launch vehicles or infrastructure) and said the UKSA is actively working to unlock these issues across Government.192

91. conclusion
The UK Government must realise the value of becoming a long-term, sustainable customer of ‘home grown’ space capabilities. Once Scotland has a proven sovereign launch capability, the provision of Government support as an ‘anchor customer’ of domestic services, rather than as a provider of one-off financial grants, will be key to ensuring the long-term financial viability of launch providers and stimulating Scotland’s wider space sector. This will require coordination, demand aggregation and a clear investment strategy from the UK Government. Scotland’s launch sector is a key asset, but it must be supported through strong strategic inclusion and targeted funding mechanisms. Without this, Scotland risks falling behind better-prepared competitors and missing an opportunity to build a high-growth space economy.

92. recommendation
The UK Space Agency should therefore commit to working with both the UK and Scottish Governments to identify early public sector customers for Scotland’s launch and spaceport sector. Government becoming a customer of the Scottish launch sector would send a clear demand signal that the sector is viable and encourage the development of a more diverse customer base in the coming years. We also call on the Department for Business and Trade to explain within six months, either in a written ministerial statement or in writing to the Committee, how it will promote international demand for Scottish launch services. Similarly, given Scotland’s competitive geographic location and capabilities, we urge the Scotland Office to play an active role in realising the ambition for Scotland to be a global leader in small satellite launch.

Cross-collaboration between departments

93. As noted in chapter one, multiple government departments and agencies are involved in shaping and implementing space-related policy, with DSIT leading on overall strategy, while others—such as the Department for Transport, Ministry of Defence and UK Space Agency (UKSA)—hold responsibility for specific areas. Dr Christie Maddock, Senior Lecturer from the University of Strathclyde, highlighted that this fragmentation across multiple departments creates confusion and competition.193 Similarly, Professor Macdonald from the University of Strathclyde also told us that there is fragmentation across government.194 He argued that with space becoming increasingly strategic—particularly for the MoD—overall coordination is vital if the Government is going to be a well-informed customer to the sector.195

94. Dr Maddock highlighted a lack of clarity—particularly regarding the UKSA’s role and its coordination with other bodies such as the Civil Aviation Authority (CAA)—as a factor that can make the system “a bit messy”.196 This was echoed by Alan Thompson, Head of Government Affairs at launch company Skyrora, who told us that they experienced delays in obtaining a launch operator licence from the CAA, attributing part of the difficulty to the complexities within the sector.197 While the UKSA previously held responsibility for licensing, this was transferred to the CAA in 2021.198 Mr Thompson noted that some of the delays stem from the fact that the CAA is still relatively new to this role and is “doing it for the first time”.199 The CAA has also called for more clarity around the number of parties and government departments involved, particularly in respect of their roles and responsibilities.200 Launch company, Orbex, suggested that a potential resolution to this current fragmentation could be the creation of a “UK Space Council”—a dedicated forum to “coordinate Government priorities, streamline procurement, and reinforce the UK’s commitment to launch”.201

95. The UK Government has recognised the fragmented responsibility for space. For example, the 2025 Strategic Defence Review highlighted the fragmented responsibility for space between departments and agencies in the UK Government.202 It recommended a reinvigorated Cabinet sub-committee or equivalent ministerial group to set the UK’s strategic approach to space and maximise policy, operational and capability synergies between the civil space sector and military needs.203 It also stated that this strategic direction would enhance private-sector confidence to invest.204 The Government accepted all 62 recommendations within the review.

96. In a June 2025 Westminster Hall debate on Space Industry, concerns were raised about the lack of clear leadership for space within the UK Government.205 Mark Garnier MP, Chair of the APPG for space, highlighted that a Cabinet sub-committee had previously been formed in 2017 (prior to the 2025 Strategic Defence Review), but had only met once and focused narrowly on launch, which “represents just 10% of the space economy”. Mr Garnier also said organisations such as UKSpace would prefer the lead Department to be the Cabinet Office, given space’s cross-departmental nature.206

97. The Minister for Industry, Sarah Jones MP, responded to the debate. Minister Jones mentioned that all space-related departments will publish delivery plans outlining their space priorities and capabilities.207 However, she also cautioned that coordination remains a challenge but confirmed that a group of Ministers are working on solutions, with a focus on maintaining a clear and ambitious strategy.208

98. When giving evidence to us, Sir Chris Bryant MP, Minister for Data Protection and Telecoms, stated that ensuring space has a cross-Government approach is a key priority.209 Minister Bryant also told us about the efforts to improve collaboration between departments such as DSIT, MoD, UK Research and Innovation (UKRI), DfT and the Department for Business and Trade, and noted the recent establishment of a junior ministerial group to drive this forward.210 Interim Space Director for DSIT, Chris White-Horne, supported this view, stressing the importance of focused, cross-government planning and coordination to deliver the Government’s space strategy effectively.211 Mr White-Horne also expressed optimism about current progress through recent collaborative efforts.212

99. The UK Government is also aware that current coordination challenges possibly create a lack of clarity in relation to the particular matter of licensing delays. To address this, the MoD said that it is exploring ways to routinely support specific UK space launches, including assisting the CAA during the licensing process.213

100. In August 2025, the UK Government announced that the UKSA would become part of DSIT by April 2026, in an attempt to help streamline support for the UK’s space industry.214 Announcing the change, Minister Bryant said:

Bringing things in-house means we can bring much greater integration and focus to everything we are doing while maintaining the scientific expertise and the immense ambition of the sector.215

101. Dr Paul Bate, Chief Executive of the Agency, also welcomed the move and said that having a single, streamlined unit linking strategy, policy, and delivery will accelerate progress towards achieving the UK’s space ambitions.216 However, some have raised concerns that the move could result in the Agency adopting a ‘typical’ Whitehall culture and approach characterised by more bureaucracy, less proactivity, and less focus for the sector.217 Others have argued that it is too early to determine what impact the change could have.218

102. conclusion
Responsibility for space policy and regulation is currently spread across multiple government departments, which leads to unclear roles. Companies within the sector are having to coordinate with multiple government departments, often with limited communication or coordination between them. This is unnecessarily hindering progress within the sector. Despite the UK’s ambition to lead in launch, the lack of clearly defined roles in and around government seems a significant barrier to growth. While the Government has acknowledged this challenge and committed to a cross-governmental approach through the implementation of the Strategic Defence Review’s recommendation, urgent action is needed to turn this commitment into well-coordinated governance. A more streamlined and clearer structure is essential to provide industry the clarity and confidence it needs to excel.

103. conclusion
We therefore cautiously welcome the Government’s decision to take direct control of the UK Space Agency, which signals a clear intent to strengthen coordination across Government, to support the sector’s development. If implemented well, this move could be a step in the right direction towards reducing bureaucracy and streamlining the sector’s experience of interacting with Government. However, the Department will need to ensure the change does not result in any loss of autonomy, proactivity or agility for the Agency. We hope to see this centralised oversight drive greater strategic alignment of policy and investment for the UK’s space sector.

104. recommendation
Nonetheless, enhanced cross-departmental collaboration will still be needed to ensure the UK’s space sector operates under a coherent and unified direction. In its response to this report, the UK Government should set out the structure, membership, and remit of the Cabinet sub-committee for space, and confirm when it will hold its first meeting. The UK Government should also commit to publishing the sub-committee’s minutes—including attendance and frequency of meetings. The Government should update the House on the sub-committee’s progress at regular intervals, through a written ministerial statement.

A minister for space

105. Some of the evidence we received during our inquiry suggests it would be useful to have a “Minister for Space”.219 For example, in February 2025, Scott Hammond, Deputy CEO at SaxaVord, told us that because space involves multiple government departments, his company would like to see a senior Cabinet-level figure assume a role to oversee and coordinate space activities.220 Professor Malcolm Macdonald from the University of Strathclyde supported this idea, noting that, despite having the UKSA as a central body, space policy remains fragmented across government.221

106. As mentioned earlier in this report, Sir Chris Bryant MP, Minister for Data Protection and Telecoms, said that he understands the calls from stakeholders for the appointment of a Minister for Space, but believes that a cross-Government approach to space is instead the key priority.222 Likewise, when asked about the possibility of a Minister for Space in a Liaison Committee evidence session on 8 April 2025, the Prime Minister highlighted the strategic importance of Scotland’s space sector but expressed hesitation about creating a new ministerial post.223 He stated:

My instinct is not always to create a new post, because I am not sure that that is always what delivers, but on the other hand there is real potential there, as you rightly say, and there is probably more that we could and should do, working with the Scotland Office.224

107. recommendation
While we are sympathetic to the sector’s calls for a dedicated ‘Minister for Space’, we do not believe such a role is necessary at this time. Fundamentally, the sector’s calls reflect a desire for improved engagement with the sector, and a more coordinated, joined-up approach between Government departments. Rather than establishing a new ministerial post, the Government should focus on ensuring this Cabinet sub-committee for space delivers meaningful improvements in coordination and engagement. In its response to this report, we expect the Government to set out what progress has been made on establishing this sub-committee and what contribution it has made to the Government’s work in this area.

Conclusions and recommendations

Potential of Scotland’s space launch sector

1. The global shortage of launch capacity combined with Scotland’s rapid sectoral growth and increasing international interest presents a time-sensitive opportunity that must not be missed. The Government must realise the massive potential for Scotland’s burgeoning space sector to contribute to the UK’s economic growth and must provide a level of support commensurate with this potential. (Conclusion, Paragraph 36)

2. Scotland is uniquely well-placed for launch because of its geographical advantage for polar orbits. SaxaVord is poised to provide a long-term sustainable launch capacity for the global market. Some limited UK Government funding and endorsement provided by the UK Government proactively championing the sector has helped unlock the private finance and international visibility needed to enable the sector to reach this point. (Conclusion, Paragraph 37)

3. However, it is clear that the UK is falling behind its European counterparts in terms of public investment, leaving Scottish spaceports at a competitive disadvantage in a fast-moving global market. Without sustained backing from the Government—particularly in infrastructure—Scotland risks missing a generational opportunity to lead in space launch. To fully realise this potential, the UK Government needs to go further and faster. The Government must move beyond cursory support and commit to long-term coordinated investment that matches the ambition and momentum already demonstrated by the sector. (Conclusion, Paragraph 38)

4. To ensure the long-term success and competitiveness of launch sites in Scotland’s space sector, we urge the UK Government to incorporate space funding within its broader economic growth ambitions. This must go beyond ad hoc funding and reflect a sustained, strategic commitment—providing the clarity, confidence, and stability that the industry needs to scale capabilities and attract international customers. A clear signal of long-term government support will not only level the playing field with better-funded European counterparts but also position the UK as a serious contender in the global launch sector. (Recommendation, Paragraph 39)

5. The UK Government should examine the case for designating all spaceports as freeports, to spur further growth of the sector and provide a greater opportunity to attract investment, talent and international partnerships. (Recommendation, Paragraph 40)

6. Scotland has a first mover advantage for achieving Europe’s first orbital launch. However, this early advantage is in danger of being lost, as competitors make rapid progress. If Scotland is to compete, and ultimately succeed, in the race to provide sustainable launch operations, the UK Government must realise that complacency is not an option and do everything it can to strengthen its support for and cooperation with the sector. (Conclusion, Paragraph 49)

7. There is enough custom for space launch services—both within Europe and globally—to sustain multiple spaceports across the UK and Europe. We therefore do not consider UK spaceports and Andøya to be existential threats to one another, but rather as facilities that can complement each other within a growing European launch sector. We encourage the UK Government to support a diverse spaceport network, whilst also fostering international cooperation to ensure sites like SaxaVord can thrive through regular and consistent launches. (Conclusion, Paragraph 50)

National security and geopolitical advantages

8. There is a clear consensus among stakeholders that the UK must develop and maintain a sovereign launch capability to secure assured access to space. This is critical for national security and defence resilience. Without decisive Government support, the UK risks becoming dangerously dependent on foreign launch partners. This over-reliance could critically undermine the UK’s defence and security infrastructure. (Conclusion, Paragraph 58)

9. The current geopolitical climate demonstrates the importance of supporting and securing sovereign space capacity—particularly through responsive and defence ready infrastructure—if not, its ability to protect national and European security interests could be severely compromised. (Conclusion, Paragraph 59)

10. The UK Government should prioritise investment in Scottish-based launch sites in order to reduce dependency on foreign providers. The Government should also diversify launch partnerships and build domestic capacity to avoid being deprioritised by foreign launch providers. (Recommendation, Paragraph 60)

11. The Ministry of Defence must work with the UK Space Agency and Scottish stakeholders to integrate defence priorities into the launch sector. This should include supporting Scottish SMEs in defence-related projects, creating a pipeline of innovation and capability that aligns with the Defence Space Strategy’s goals. (Recommendation, Paragraph 61)

12. The Ministry of Defence should prioritise the procurement of homegrown responsive launch services from domestic UK providers that can deploy satellites within days or weeks in response to emerging threats. (Recommendation, Paragraph 62)

13. While Scotland has great potential to be part of a sovereign launch nation and a collaborative European partner, it is increasingly clear that space ambitions cannot be fully fulfilled in isolation. We are pleased to see that space has been included in the 2025 Strategic Defence Review, recognising its growing importance to national security. However, as highlighted in the review and in the evidence we have received, the UK’s long-term space ambitions must be grounded in deepened partnerships. To secure long-term resilience, economic visibility and geopolitical relevance, a cooperative approach must be embraced that aligns with European partners and institutions. (Conclusion, Paragraph 73)

14. In its response to this report, the UK Government should set out how it is actively pursuing and deepening international partnerships—particularly with European nations and institutions such as the European Space Agency—to ensure resilient and assured access to space. (Recommendation, Paragraph 74)

15. In response to this report, the UK Government should also set out how it will support companies operating in Scotland in succeeding in the European Launcher Challenge. This should include specific measures on how it will commit to the initiative. The UK Government should write to the Committee to provide an update by Spring 2026. (Recommendation, Paragraph 75)

Strengthening the UK Government’s role in space

16. The UK’s ambition to become a global leader in space, as outlined in the National Space Strategy, is clear—but achieving this vision requires more than ambition. It demands a coherent, long-term investment strategy, stronger alignment with the devolved administrations and funding that supports each area of space innovation—from research and development through to manufacturing and commercialisation. (Conclusion, Paragraph 82)

17. The sector’s prioritisation within the Industrial Strategy, must be underpinned by a long-term and strategic approach to investment in the sector, which is also aligned with the objectives of the National Space Strategy and Defence Space Strategy. Such an approach would provide stakeholders with greater confidence, stability with existing policies and a clearer roadmap for long-term growth. (Recommendation, Paragraph 83)

18. In its response to this report the UK Government should commit to producing a clear plan—including timescales and funding mechanisms—for broadening its space sector support beyond research and development. This should include targeted investment in manufacturing, productisation, and commercialisation. Funding in these areas will enable UK-based launch and manufacturing companies—particularly Scottish providers—to scale from development phases to full operational capability, which is essential to establish the sector’s readiness and reinforce the UK’s position as a leader in the space economy. (Recommendation, Paragraph 84)

19. The UK Government must realise the value of becoming a long-term, sustainable customer of ‘home grown’ space capabilities. Once Scotland has a proven sovereign launch capability, the provision of Government support as an ‘anchor customer’ of domestic services, rather than as a provider of one-off financial grants, will be key to ensuring the long-term financial viability of launch providers and stimulating Scotland’s wider space sector. This will require coordination, demand aggregation and a clear investment strategy from the UK Government. Scotland’s launch sector is a key asset, but it must be supported through strong strategic inclusion and targeted funding mechanisms. Without this, Scotland risks falling behind better-prepared competitors and missing an opportunity to build a high-growth space economy. (Conclusion, Paragraph 91)

20. The UK Space Agency should therefore commit to working with both the UK and Scottish Governments to identify early public sector customers for Scotland’s launch and spaceport sector. Government becoming a customer of the Scottish launch sector would send a clear demand signal that the sector is viable and encourage the development of a more diverse customer base in the coming years. We also call on the Department for Business and Trade to explain within six months, either in a written ministerial statement or in writing to the Committee, how it will promote international demand for Scottish launch services. Similarly, given Scotland’s competitive geographic location and capabilities, we urge the Scotland Office to play an active role in realising the ambition for Scotland to be a global leader in small satellite launch. (Recommendation, Paragraph 92)

21. Responsibility for space policy and regulation is currently spread across multiple government departments, which leads to unclear roles. Companies within the sector are having to coordinate with multiple government departments, often with limited communication or coordination between them. This is unnecessarily hindering progress within the sector. Despite the UK’s ambition to lead in launch, the lack of clearly defined roles in and around government seems a significant barrier to growth. While the Government has acknowledged this challenge and committed to a cross-governmental approach through the implementation of the Strategic Defence Review’s recommendation, urgent action is needed to turn this commitment into well-coordinated governance. A more streamlined and clearer structure is essential to provide industry the clarity and confidence it needs to excel. (Conclusion, Paragraph 102)

22. We therefore cautiously welcome the Government’s decision to take direct control of the UK Space Agency, which signals a clear intent to strengthen coordination across Government, to support the sector’s development. If implemented well, this move could be a step in the right direction towards reducing bureaucracy and streamlining the sector’s experience of interacting with Government. However, the Department will need to ensure the change does not result in any loss of autonomy, proactivity or agility for the Agency. We hope to see this centralised oversight drive greater strategic alignment of policy and investment for the UK’s space sector. (Conclusion, Paragraph 103)

23. Nonetheless, enhanced cross-departmental collaboration will still be needed to ensure the UK’s space sector operates under a coherent and unified direction. In its response to this report, the UK Government should set out the structure, membership, and remit of the Cabinet sub-committee for space, and confirm when it will hold its first meeting. The UK Government should also commit to publishing the sub-committee’s minutes—including attendance and frequency of meetings. The Government should update the House on the sub-committee’s progress at regular intervals, through a written ministerial statement. (Recommendation, Paragraph 104)

24. While we are sympathetic to the sector’s calls for a dedicated ‘Minister for Space’, we do not believe such a role is necessary at this time. Fundamentally, the sector’s calls reflect a desire for improved engagement with the sector, and a more coordinated, joined-up approach between Government departments. Rather than establishing a new ministerial post, the Government should focus on ensuring this Cabinet sub-committee for space delivers meaningful improvements in coordination and engagement. In its response to this report, we expect the Government to set out what progress has been made on establishing this sub-committee and what contribution it has made to the Government’s work in this area. (Recommendation, Paragraph 107)

Formal minutes

Wednesday 3 September 2025

Members present

Patricia Ferguson, in the Chair

Maureen Burke

Harriet Cross

Dave Doogan

Lillian Jones

Mr Angus MacDonald

Douglas McAllister

Susan Murray

Elaine Stewart

Kirsteen Sullivan

Scotland’s space sector follow-up: launch

Draft Report (Scotland’s space sector follow-up: launch), proposed by the Chair, brought up and read.

Ordered, That the draft Report be read a second time, paragraph by paragraph.

Paragraphs 1 to 107 read and agreed to.

Annex and Summary agreed to.

Resolved, That the Report be the Second Report of the Committee to the House.

Ordered, That the Chair make the Report to the House.

Ordered, That embargoed copies of the Report be made available (Standing Order No. 134).

Adjournment

Adjourned till Wednesday 10 September at 9.00 am.

Glossary

This glossary provides precise definitions of key terms and concepts related to space exploration and launch.

C

Critical National Infrastructure—National assets that are essential for the functioning of society.

E

End-to-end—From the very beginning of a process to the very end.

H

Horizontal launch—Involves specialised aircraft that takes off horizontally. This requires less thrust and fuel to reach high altitudes.

  • A horizontal launch craft will go as high as possible, then either switch to a rocket engine or deploy a rocket-powered craft that has “piggy-backed” on it, to power satellites into space and into orbit.
L

Launch vehicle—A rocket used to transport spacecraft from Earth into space.

Low Earth orbit—An orbit that is relatively close to Earth’s surface.

O

Orbit—A regular, repeating path that one object in space takes around another one.

Orbital launch - Launch where a spacecraft escapes the Earth’s gravitational pull and circles the planet in a stable way, potentially for years or decades

P

Payload—Elements of a spacecraft specifically dedicated to producing mission data and then relaying that data back to Earth.

Polar orbit—A type of low Earth orbit, typically between 200 to 1000km in altitude.

R

Responsive launch—The ability to deploy satellites into orbit at extremely short notice, with particular applications in the defence and security sectors.

S

Satellite—An artificial or natural object that orbits a planet.

Sovereign launch capability—The ability of a country to launch its own satellites into space independently without relying on foreign countries.

Spacecraft—A vehicle used for travel in space.

Spaceport—A site where spacecraft can be launched.

Sub-orbital launch—launch where a spacecraft attains a high enough altitude to enter ‘outer space’ but may remain there for as little as a few minutes before returning to Earth.

Sun-synchronous orbit—A particular kind of polar orbit in which satellites are in sync with the Sun.

T

Trajectory—The path of a spacecraft, rocket, or other object in space or the Earth’s atmosphere.

V

Vertical launch—Involves a rocket (with its payload) launching vertically upwards from a launch pad.

Witnesses

The following witnesses gave evidence. Transcripts can be viewed on the inquiry publications page of the Committee’s website.

Wednesday 5 February 2025

Scott Hammond, Deputy Chief Executive Officer, SaxaVord SpaceportQ1–17

Nik Smith, Regional Director for UK and Europe, Lockheed Martin; Phil Chambers, Chief Executive Officer, OrbexQ18–36

Ruari Brooker, Business Development Manager, HyImpulse; Jörn Spurmann, Chief Commercial Officer, Rocket Factory Augsburg; Alan Thompson, Head of Government Affairs, SkyroraQ37–55

Wednesday 23 April 2025

Professor Malcolm Macdonald, Director of the Centre for Signal and Image Processing, University of Strathclyde; Professor Patrick Harkness, Professor of Exploration Technology, University of Glasgow; Dr Christie Maddock, Senior Lecturer, Mechanical and Aerospace Engineering, University of Strathclyde; Dr Pamela Smith, Vice President of Future Programmes, AAC Clyde SpaceQ56-75

Colin Macleod, Head of the UK Space Regulator, UK Civil Aviation Authority; Rosie Whitbread, Head of Space Regulation Policy, UK Civil Aviation AuthorityQ76-86

Sir Chris Bryant MP, Minister of State for Data Protection and Telecoms, Department for Science, Innovation and Technology; Chris White-Horne, Interim Space Director, Department for Science, Innovation and Technology, Deputy CEO, UK Space Agency; Matthew Archer, Missions and Capabilities Director for Launch, UK Space AgencyQ87-106

Published written evidence

The following written evidence was received and can be viewed on the inquiry publications page of the Committee’s website.

SSS numbers are generated by the evidence processing system and so may not be complete.

1 Department for Science, Innovation and Technology; and Scotland Office SSS0004

2 Civil Aviation Authority SSS0002

3 Lockheed Martin UK SSS0001

4 Ministry of Defence SSS0006

5 Orbital Express Launch Limited (Orbex) SSS0005

6 University of Strathclyde SSS0003

List of Reports from the Committee during the current Parliament

All publications from the Committee are available on the publications page of the Committee’s website.

Session 2024–25

Number

Title

Reference

1st

The financing of the Scottish Government

HC 456

2nd
Special

Scotland’s space sector: Government response

HC 801

1st
Special

Science and Scotland: Government response

HC 800


Footnotes

1 HyImpulse (SSS0011)

2 Scottish Government, Economic Development Directorate, Manufacturing, Space Sector (accessed 16 July 2025)

3 HyImpulse (SSS0011)

4 MIT Technology Review, Europe is finally getting serious about commercial rockets, 20 March 2025

5 Gov.uk, Air Accidents Investigation Branch, AAIB Statement: LauncherOne launch failure, 3 October 2024

6 See HyImpulse (SSS0011); Lockheed Martin UK (SSS0001)

7 Lockheed Martin UK (SSS0001)

8 “UK’s first vertical launch rocket will blast off this year”, The Times, 16 January 2025 (accessed on 15 July 2025)

9 Oral evidence taken on 8 January 2024, Q220 [Scott Hammond]

10 Scottish Affairs Committee, Scotland’s space sector

11 Scottish Affairs Committee, Letter to Alister Jack MP and Andrew Griffith MP – regarding conclusion of Scotland’s space sector inquiry, 24 May 2024

12 2nd Report – Scotland’s space sector: Government response

13 House of Lords, UK Engagement with Space Committee

14 Visit Note – Scottish Affairs Committee visit to Norway – March 2025

15 Visit Note – Scottish Affairs Committee visit to Shetland - May 2025

16 UK Space Agency, The Size and Health of the UK Space Industry 2023, 26 July 2024

17 UK Space Agency, The Size and Health of the UK Space Industry 2023, 26 July 2024

18 See HyImpulse (SSS0011); Space Scotland, Space Scotland Industry Group (SSS0016)

19 CAA, Department for Transport and UKSA, A guide to UK spaceports, GOV.UK, 18 April 2023

20 BBC News, UK first as vertical rocket launch licence granted, 16 January 2025

21 BBC News, UK first as vertical rocket launch licence granted, 16 January 2025

22 Q72 [Professor Macdonald]

23 See University of Strathclyde (SSS0003); Department for Science, Innovation and Technology; Scotland Office (SSS0004); Lockheed Martin UK (SSS0001)

24 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

25 UK Space Agency, UK Space Agency Corporate Plan 2022–25, GOV.UK, 18 July 2022

26 Department for Science, Innovation and Technology; Scotland Office (SSS0004); Space Industry Regulations 2021 Strategy, GOV.UK, 27 September 2021

27 National space strategy, published September 2021, updated February 2022

28 House of Commons Library, The UK Space Industry, Research Briefing CBP 9202, 27 March 2025

29 House of Commons Library, The UK Space Industry, Research Briefing CBP 9202, 27 March 2025

30 Department for Science, Innovation and Technology, National Space Strategy in Action, GOV.UK, 19 July 2023

31 Department for Science, Innovation and Technology, National Space Strategy in Action, GOV.UK, 19 July 2023

32 Department for Science, Innovation and Technology, Ministry of Defence, Space Industrial Plan, Published 7 March 2024 (accessed 12 June 2025)

33 Scottish Government, Scottish Space Strategy Launched, October 2021 (accessed 09 April 2025)

34 House of Commons Library, The UK Space Industry, Research Briefing CBP 9202, 27 March 2025

35 RAND Europe, Monitoring, Evaluation and Benefits Management for the UK’s investments in the European Space Agency, (accessed 26 June 2025)

36 RAND Europe, Monitoring, Evaluation and Benefits Management for the UK’s investments in the European Space Agency, (accessed 26 June 2025)

37 RAND Europe, Monitoring, Evaluation and Benefits Management for the UK’s investments in the European Space Agency, (accessed 26 June 2025)

38 RAND Europe, Monitoring, Evaluation and Benefits Management for the UK’s investments in the European Space Agency, (accessed 26 June 2025)

39 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

40 UK Space Agency, New funding to boost space sector growth across the UK, 7 March 2024 [accessed 12 June 2025]

41 DSIT, UK Space Agency, Scotland Office, Scottish rocket launch boost to get Britain back into space race, gov.uk, January 2025

42 UK Space Agency, Scotland’s space sector key to UK ambitions, 11 September 2024

43 Q28

44 Q25

45 See Q8; HM Treasury and The Rt Hon Rachel Reeves MP, Chancellor vows to go further and faster to kickstart economic growth, 29 January 2025

46 See Orbital Express Launch Limited (Orbex) (SSS0005); Ministry of Defence, Department for Science, Innovation and Technology, National space strategy, published September 2021, updated February 2022

47 Lockheed Martin UK (SSS0001)

48 Lockheed Martin UK (SSS0001)

49 Orbital Express Launch Limited (Orbex) (SSS0005)

50 Orbital Express Launch Limited (Orbex) (SSS0005)

51 Orbital Express Launch Limited (Orbex) (SSS0005)

52 Orbital Express Launch Limited (Orbex) (SSS0005)

53 Orbital Express Launch Limited (Orbex) (SSS0005)

54 Orbital Express Launch Limited (Orbex) (SSS0005)

55 Orbital Express Launch Limited (Orbex) (SSS0005)

56 Lockheed Martin UK (SSS0001)

57 See Lockheed Martin UK (SSS0001); Deutsche Bank Research, The Big Rocket Shortage, October 2022

58 Lockheed Martin UK (SSS0001)

59 Orbital Express Launch Limited (Orbex) (SSS0005)

60 Orbital Express Launch Limited (Orbex) (SSS0005)

61 Oral evidence taken by the Treasury Committee on 18 June 2025, Q146-7 [Phil Chambers]

62 Oral evidence taken by the Treasury Committee on 18 June 2025, Q147 [Phil Chambers]

63 Visit Note – Scottish Affairs Committee visit to Shetland - May 2025

64 Ministry of Housing, Communities and Local Government and Department for Levelling Up, Housing and Communities, Freeports, 27 October 2021 (accessed 23 June 2025)

65 Ministry of Housing, Communities and Local Government and Department for Levelling Up, Housing and Communities, Freeports, 27 October 2021 (accessed 23 June 2025)

66 Gov.UK, UK Freeports, Building the future UK Freeports, (accessed 23 June 2025)

67 Q9

68 Visit Note – Scottish Affairs Committee visit to Shetland - May 2025

69 Visit Note – Scottish Affairs Committee visit to Shetland - May 2025

70 Visit Note – Scottish Affairs Committee visit to Shetland - May 2025

71 Q14

72 Civil Aviation Authority, Regulator Grants First Space Launch Licence For a UK Based Rocket Company, 5 August 2025

73 Civil Aviation Authority, Regulator Grants First Space Launch Licence For a UK Based Rocket Company, 5 August 2025

74 See Financial Times, Scottish rocket maker looks abroad for launch due to lack of UK facilities, 4 August 2025

75 Scottish Government, Growing Scotland’s Space Sector, 11 September 2024

76 UK Space Agency, Scotland’s space sector key to UK ambitions, 11 September 2024

77 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

78 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

79 Q96 [Chris White-Horne]

80 Q96 [Chris White-Horne]

81 “UK’s first vertical launch rocket will blast off this year”, The Times, 16 January 2025 (accessed on 13 June 2025)

82 Q220 [Scott Hammond]; SaxaVord SaxaVord Spaceport: The Place for Space, November 2024

83 Andøya Space, “Spaceport - Andoya Space”, March 2025

84 Highlands and Islands Enterprise, “SCEPTRE Final report”, February 2017, p2

85 Visit Note – Scottish Affairs Committee visit to Norway – March 2025

86 Isar Aerospace’s first Spectrum launch fails, March 2025, (accessed on 13 June 2025)

87 See Q13; Q33; Q37; Q39; Q44

88 Q78

89 Orbital Express Launch Limited (Orbex) (SSS0005)

90 Orbital Express Launch Limited (Orbex) (SSS0005)

91 Letter to Alister Jack MP and Andrew Griffith MP – regarding conclusion of Scotland’s space sector inquiry, dated 24 May 24

92 Q56 [Professor Macdonald]

93 Q56 [Professor Macdonald]

94 Q69 [Professor Macdonald]

95 Q69 [Dr Maddock]

96 Q73 [Professor Macdonald]

97 Q58 [Professor Harkness]

98 Written evidence received for the House of Lords UK Engagement with Space Committee (SPA0068) para 1.3, April 2025

99 Oral evidence taken on 25 June 2025, Q47, [Ian Murray]

100 Q96 [Sir Chris Bryant]

101 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

102 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

103 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

104 See University of Strathclyde (SSS0003); Department for Science, Innovation and Technology; Scotland Office (SSS0004); Q56 [Dr Smith]

105 Ministry of Defence, Defence Space Strategy: Operationalising the Space Domain, GOV.UK, 1 February 2022 (accessed 19 June 2025)

106 See University of Strathclyde (SSS0003); Q56 [Dr Smith]; Q59 [Professor Macdonald]

107 Q73 [Dr Smith]

108 Q56 [Dr Smith]

109 University of Strathclyde (SSS0003)

110 University of Strathclyde (SSS0005)

111 See Lockheed Martin UK (SSS0001); Q14; Q42; Department for Science, Innovation and Technology; Scotland Office (SSS0004); Ministry of Defence (SSS0006)

112 Lockheed Martin UK (SSS0001)

113 Lockheed Martin UK (SSS0001)

114 Q42; HyImpulse UK Ltd (SSS0011)

115 Q42

116 Q17

117 Q17

118 Oral evidence taken by the Defence Committee on 6 May 2025, Q48

119 Oral evidence taken by the Defence Committee on 6 May 2025, Q49

120 Oral evidence taken by the Defence Committee on 6 May 2025, Q49

121 Letter from Scottish Government regarding Scotland’s space sector follow up: launch, dated 27 March 202

122 Oral evidence taken by the Liaison Committee on 8 April 2025, Q15

123 Oral evidence taken by the Liaison Committee on 8 April 2025, Q15

124 Ministry of Defence, The Strategic Defence Review 2025 - Making Britain Safer: secure at home, strong abroad, 11 June 2025

125 Ministry of Defence, The Strategic Defence Review 2025 - Making Britain Safer: secure at home, strong abroad, 11 June 2025

126 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

127 Q95 [Sir Chris Bryant]

128 See University of Strathclyde (SSS0003); Q95 [Sir Chris Bryant]; Lockheed Martin UK (SSS0001)

129 See University of Strathclyde (SSS0003); Q95 [Sir Chris Bryant]; Lockheed Martin UK (SSS0001); Q62; Q73 [Professor Macdonald]

130 Q62, Q73 [Professor Macdonald]

131 University of Strathclyde (SSS0003)

132 Lockheed Martin UK (SSS0001)

133 Oral evidence taken by the Defence Committee on 6 May 2025, Q16

134 Oral evidence taken by the Defence Committee on 6 May 2025, Q16 [Gabriel Elefteriu]

135 Oral evidence taken by the Defence Committee on 6 May 2025, Q16 [Juliana Suess]

136 Oral evidence taken by the Defence Committee on 6 May 2025, Q16 [Juliana Suess]

137 Ministry of Defence, The Strategic Defence Review 2025 - Making Britain Safer: secure at home, strong abroad, 11 June 2025

138 Ministry of Defence, The Strategic Defence Review 2025 - Making Britain Safer: secure at home, strong abroad, 11 June 2025

139 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

140 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

141 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

142 Ministry of Defence, UK to support NATO space launch capabilities and artillery supplies, 17 October 2024

143 Ministry of Defence (SSS0006)

144 European Spaceflight, ESA issues call for European Launcher Challenge Proposals, 25 March 2025

145 European Spaceflight, ESA issues call for European Launcher Challenge Proposals, 25 March 2025

146 The European Space Agency, Submit your proposal to the European Launcher Challenge, 24 March 2025

147 The European Space Agency, Prepare for the European Launcher Challenger, 4 June 2024

148 Q55 [Ruari Brooker]

149 Orbital Express Launch Limited (Orbex) (SSS0005)

150 Q74

151 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

152 Department for Science, Innovation and Technology; Scotland Office (SSS0004)

153 The European Space Agency, European Launcher Challenge: preselected challengers unveiled, 7 July 2025

154 Q56

155 Q56 [Dr Maddock]

156 Q56 [Dr Maddock]

157 Q56 [Professor Harkness]

158 Lockheed Martin UK (SSS0001)

159 See Department for Business and Trade, The UK’s Modern Industrial Strategy, 23 June 2025; Q35; Orbital Express Launch Limited (Orbex) (SSS0005); Q60 [Professor Macdonald]

160 Lockheed Martin UK (SSS0001); Orbital Express Launch Limited (Orbex) (SSS0005)

161 Orbital Express Launch Limited (Orbex) (SSS0005)

162 Department for Business and Trade, The UK’s Modern Industrial Strategy, 23 June 2025

163 Department for Business and Trade, The UK’s Modern Industrial Strategy, 23 June 2025

164 See Q95; Q103 [Matthew Archer]

165 Orbital Express Launch Limited (Orbex) (SSS0005)

166 Lockheed Martin UK (SSS0001)

167 Department for Business and Trade, The UK’s Modern Industrial Strategy, 23 June 2025

168 See Q103 [Matthew Archer]; Q95 [Chris White-Horne]

169 Q103 [Matthew Archer]

170 Q95 [Chris White-Horne]

171 Ministry of Defence, Department for Science, Innovation and Technology, National space strategy, published September 2021, updated February 2022

172 Ministry of Defence, Department for Science, Innovation and Technology, Space Industrial Plan: from ambition to action - advancing UK space industry, March 2024

173 See Orbital Express Launch Limited (Orbex) (SSS0005); Q89 [Matthew Archer]; Space Scotland and Space Scotland Industry Group (SSS0016)

174 University of Strathclyde (SSS0003)

175 University of Strathclyde (SSS0003)

176 University of Strathclyde (SSS0005)

177 See Q8 [Scott Hammond]; Q54 [Jörn Spurmann]; Q95 [Chris White-Horne]

178 Q66

179 Q66

180 ADS and UKSpace (SSS0023)

181 Orbital Express Launch Limited (Orbex) (SSS0005); National Audit Office, Department for Science Innovation and Technology, The National Space Strategy and the role of the UK Space Agency, July 2024

182 National Audit Office, Department for Science Innovation and Technology, The National Space Strategy and the role of the UK Space Agency, July 2024

183 National Audit Office, Department for Science Innovation and Technology, The National Space Strategy and the role of the UK Space Agency, July 2024

184 National Audit Office, Department for Science Innovation and Technology, The National Space Strategy and the role of the UK Space Agency, July 2024

185 Orbital Express Launch Limited (Orbex) (SSS0005)

186 Q59

187 Letter to Alister Jack MP and Andrew Griffith MP – regarding conclusion of Scotland’s space sector inquiry, dated 24 May 24

188 2nd Report – Scotland’s space sector: Government response

189 Q102 [Sir Chris Bryant]

190 Q101 [Chris White-Horne]

191 Q101 [Chris White-Horne]

192 Q101 [Chris White-Horne]

193 Q59 [Dr Maddock]

194 Q61 [Professor Macdonald]

195 Q61 [Professor Macdonald]

196 Q59 [Dr Maddock]

197 Q52

198 Explanatory Memorandum to the Space Industry Regulations 2021

199 Q52

200 Q79 [Colin Macleod]

201 Orbital Express Launch Limited (Orbex) (SSS0005)

202 Ministry of Defence, The Strategic Defence Review 2025 - Making Britain Safer: secure at home, strong abroad, 2 June 2025 [accessed 17 June 2025]

203 Ministry of Defence, The Strategic Defence Review 2025 - Making Britain Safer: secure at home, strong abroad, 2 June 2025 [accessed 17 June 2025]

204 Ministry of Defence, The Strategic Defence Review 2025 - Making Britain Safer: secure at home, strong abroad, 2 June 2025 [accessed 17 June 2025]

205 HC Deb 11 June 2025, cols 349-350

206 HC Deb 11 June 2025, cols 349-350

207 HC Deb 11 June 2025, col 366WH

208 HC Deb 11 June 2025, col 366WH

209 Q90 [Sir Chris Bryant]

210 Q90 [Sir Chris Bryant]

211 Q90 [Chris White-Horne]

212 Q90 [Chris White-Horne]

213 Ministry of Defence (SSS0006)

214 Department for Science, Innovation and Technology, UK Space Agency and Sir Chris Bryant MP, UK space sector bolstered with government reforms to boost growth and cut red tape, 20 August 2025

215 Department for Science, Innovation and Technology, UK Space Agency and Sir Chris Bryant MP, UK space sector bolstered with government reforms to boost growth and cut red tape, 20 August 2025

216 Department for Science, Innovation and Technology, UK Space Agency and Sir Chris Bryant MP, UK space sector bolstered with government reforms to boost growth and cut red tape, 20 August 2025

217 BBC News, UK independent space agency scrapped to cut costs, 20 August 2025

218 Durham University, The UK Space Agency has been absorbed into the science department. The potential effects are still unclear, 22 August 2025

219 See Q8 [Scott Hammond]; Q61 [Professor Macdonald]

220 Q8 [Scott Hammond]

221 Q61 [Professor Macdonald]

222 Q90 [Sir Chris Bryant]

223 Oral evidence taken by the Liaison Committee on 8 April 2025, Q14

224 Oral evidence taken by the Liaison Committee on 8 April 2025, Q14