Source · Select Committees · Scottish Affairs Committee

Recommendation 19

19 Rejected

UK Government becoming anchor customer is vital for Scotland's launch sector viability

Recommendation
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)
Government Response Summary
The government states it is supporting a commercial approach to launch, is highly unlikely to provide sufficient demand to sustain the sector itself, and does not commit to becoming an anchor customer.
Government Response Rejected
HM Government Rejected
• Rather than the Government directly owning and managing rocket launch attempts, Government is supporting a commercial approach to building launch heritage following the US SpaceX model, i.e. enabling commercial providers to build the technical experience and learn from the first launch attempts that are most prohibitively costly and carry highest risk of failure. • While the Government is highly unlikely to provide sufficient demand to sustain the UK launch sector in and of themselves, the Ministry of Defence (MoD) supports the UK’s launch ambitions and works closely with allies and partners to assure appropriate and timely access to space. Two defence payloads were on board the Virgin Orbit launch from Spaceport Cornwall, and MoD is exploring further opportunities for harnessing the UK’s launch capabilities. • DBT already promotes the UK’s ambitions regarding launch capability in its overseas export promotion work, and regularly supports UK-based launch providers in accessing overseas markets. As the UK’s launch capability becomes fully operational, DBT will work with UKSA to further promote UK launch services to overseas customers. The Government will set out more information on its space exports strategy as part of the 2026 publication.