UK Government urged to invest in space economy 

The UK Government has been urged to invest in the global “race for space” by a House of Lords committee. 

In a report centred around growing the UK's space economy, the House of Lords cross-party committee said that the government should provide clear leadership, strategy and investment to avoid missing the opportunity to become a “lead player” in the global space economy.  

“Only the most strategic and forward-looking nations will capture the economic and scientific rewards of this new space age,” said committee chair Baroness Catherine Ashton. 

“With the right leadership, co-ordination, and investment, the UK can be there. Space is transforming the world, and our report found much to be positive about. Britain should play a role in leading that transformation or risk being left behind.”  

The report recommends that the government provide a clear strategic direction and framework for space development while also appointing a dedicated space minister and space champion to drive cross-government co-ordination and industry engagement. The report also highlights the importance of space technology to the UK, with some estimates saying that over £450bn of the UK’s economy is dependent on the space sector. 

“The value of space to modern society is underappreciated,” the report said. “Satellite services are a Critical National Infrastructure, the disruption of which would create significant challenges across British society. And space scientific missions help drive technological innovation, provide a crucial customer for space firms and inspire future generations of scientists and engineers.” 

In Scotland, the space industry is predicted to be worth over £4bn by 2030 and employ over 20,000 people. Figures show that one fifth of all UK space sector jobs are in Scotland and that Glasgow produces more small satellites than anywhere else in Europe.  

“I'm responsible for many different sectors of the Scottish economy with my ministry,” said business minister Richard Lochead in 2024. “But when I look at space, I see perhaps the fastest-growing sector in Scotland. I see something really exciting. I see something with potential.” 

Scotland is also home to the SaxaVord Spaceport in Unst on Shetland. SaxaVord is one of seven spaceports in the UK but the only one to have launches scheduled. The report highlights this as a concern for policymakers, as the ability to launch satellites as a sovereign nation could be crucial to national security. 

“If the government wishes to progress with the pursuit of sovereign launch capability, it should consider designating UK spaceports as Critical National Infrastructure, as they are built, to underscore their strategic importance,” said the report. 

“Furthermore, the government should consider whether strategically supporting multiple spaceport initiatives across the UK would ensure critical resilience and sovereign access to space, preventing single points of failure.” 

Last month Major General Paul Tedman, the head of UK Space Command, outlined the level of interference experienced by UK military satellites from hostile state actors. 

“We're seeing our satellites being jammed by the Russians on a reasonably persistent basis,” said Tedman. 

“They've got payloads on board that can see our satellites and are trying to collect information from them.”   

According to Tedman, both Russia and China have developed sophisticated space lasers that could be used to overwhelm UK satellites, disrupting their ability to relay information back down to Earth.