Source · Select Committees · Scottish Affairs Committee
Recommendation 18
18
Deferred
Commit to producing plan for broadening space sector support beyond research and development
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. (Recommendation, Paragraph 84)
Government Response Summary
The government acknowledges the need for broader space sector support beyond R&D, stating it has increased funding by 8% in 2025/26 and will utilise various financial levers for industrialisation. However, a clear plan with specific timescales and funding mechanisms will be set out in a new cross-government space publication, scheduled for 2026.
Government Response
Deferred
HM Government
Deferred
• The Government is clear that space is a British success story. It’s a fast-growing sector which makes an outsized contribution to our economy and national security. In the first phase of this Spending Review, we have taken steps to invest further in Space – increasing our funding by 8% in 2025/26 compared with 2024/25, enabling us to set the sector up to succeed. • The Industrial Strategy highlights the need to industrialise our space companies, and commits the Government to focussing our work with the sector on this. Regulatory reform, Government procurement, and the full range of financial levers (including but not limited to R&D grants) will all be utilised such that industrialisation of the sector can be better achieved. • In the coming months we will set out our priorities for space funding, with a focus on delivery, in a new cross-government space publication, scheduled for 2026. We will be focussed on how to use space to deliver strongly on our Plan for Growth and the Industrial Strategy, and prioritising National Security and Defence outcomes.