CivilEurope

UK Commits £62M into Domestic Space Capabilities

Map of the UK from space. Image: UK Space Agency
Map of the UK from space. Image: UK Space Agency

The UK is putting money behind a simple proposition: It cannot afford to lease critical space capabilities. 

The UK government announced £62M ($83.3M) in new funds Monday to develop domestic satcom and space technologies. The pitch is to foster dual-use capabilities that can both build commercial markets and enhance national security. 

“Space is not just a scientific frontier; it is a strategic one,” Space Minister Liz Lloyd said at the Farnborough International Airshow. “If we do not build national capabilities at home, we become overly dependent on others for technologies we cannot afford to be without.” 

Show me the money: The funds are divided across two programs, each targeting a different strategic dependency. 

  • The Connectivity in Low Earth Orbit (C-LEO) Programme will offer £42M ($56.4M) to UK businesses and researchers developing new satcom technologies, bringing the program’s total funding to £77M ($103.4M). Projects must focus on one or more of the following supply-chain chokepoints: on-board processing, active antennas, optical links, networking and routing, or user terminals.
  • The National Space Innovation Programme (NSIP) is launching a new £20M ($26.9M) fund to support the development of space tech across UK industry, universities, and research orgs. Up to 40% of NSIP’s budget targets SDA and ISAM. 

The SDA priorities go beyond debris tracking: identifying satellites against a catalog, characterizing payload activity, and detecting faults or damage on other spacecraft. While NSIP is primarily civil, the guidance says defense projects are within the funding’s scope.

The UK also announced a new funding call this fall for the Space Clusters Infrastructure Fund (SCIF), with plans to award £37M ($49.7M) in grants by 2030. SCIF seeks to strengthen regional space infrastructure, and reduce dependence on international space programs.

Seed money: The UKSA, now part of the Department for Science, Innovation, and Technology, also published a report Monday on the impact of its Accelerator program, which helps nascent space companies attract private investment. According to the report, the program has supported 289 founders since 2021.

The Accelerator’s alumni have raised £102.2M ($137.3M) since 2021 across 61 funding rounds. But UKSA concedes the pre-seed and seed landscape in space remains thin, with more early-stage investors needed to match deal flow.