UK and Germany back SaxaVord in new European space launch deal

The UK and Germany have agreed to deepen cooperation on satellite launches, identifying Scotland’s SaxaVord Spaceport as a potential hub for Europe’s independent access to space.

The agreement, announced following talks between UK Prime Minister Andy Burnham and German Chancellor Friedrich Merz in Berlin on 8 October, covers civil, commercial, security and defence space activities.

In a joint statement, the governments committed to closer cooperation on launch capabilities and assured access to space, explicitly naming SaxaVord Spaceport in Shetland.

They intend to sign a memorandum of understanding (MoU) during bilateral government consultations in early 2027. 

The agreement follows Orbex’s collapse and a renewed UK government commitment to SaxaVord.

SaxaVord at the centre of UK-German launch plans

Located on Unst in the Shetland Islands, SaxaVord is the UK’s first licensed vertical launch spaceport.

Its northern location makes it particularly suitable for launching satellites into polar and sun-synchronous orbits, used for Earth observation, environmental monitoring, reconnaissance and defence applications.

The spaceport is licensed for up to 30 launches annually and can accommodate multiple rocket operators.

The agreement builds on an existing partnership between SaxaVord and German rocket manufacturer Rocket Factory Augsburg (RFA), which is developing its RFA ONE rocket for launches from the Scottish site.

SaxaVord’s January 2026 briefing described its cooperation with RFA as part of efforts to establish responsive European launch capabilities, supported by the UK and German space agencies.

RFA postponed preparations for its inaugural orbital launch in July after discovering a technical problem during testing at SaxaVord.

The company said it would dismantle the rocket’s assembled stages to investigate the issue. The planned August launch was delayed, with no replacement date announced at that time. 

UK commits £30 million to SaxaVord after Orbex collapse

Orbex, which was developing the Prime small-satellite launch vehicle, collapsed after failing to secure sufficient private investment.

In a June 2026 parliamentary response, the government confirmed it had provided Orbex with £20 million and a further £6 million in 2025. Ministers said the company could not raise the matching private investment needed to access additional European Space Agency funding.

The government’s September 2026 UK Space Strategy identifies SaxaVord as the centre of the UK’s domestic launch capability, alongside international partnerships.

The strategy proposes £30 million for SaxaVord, subject to due diligence, to accelerate operational readiness. It also allocates £148 million to European launch programmes as part of a wider £227 million commitment to assured access to space through 2029/30. 

The government aims to establish frequent orbital launches from UK territory by 2030, serving commercial, government and institutional customers.

Why European access to space matters

Europe has relatively few options for launching satellites, particularly when missions must take place at short notice.

That poses a challenge for defence operators, who may need to deploy additional surveillance satellites or replace spacecraft lost through technical failures or hostile action.

The UK Space Strategy identifies assured access to space as a national security requirement and calls for greater domestic launch capacity alongside international partnerships.

SaxaVord could provide launch facilities for UK and German operators, but the spaceport’s commercial prospects depend on rockets becoming operational and attracting regular customers.

The planned UK-German MoU could clarify how the governments intend to use the facility. The joint statement does not specify launch contracts, additional funding or a timetable for missions from SaxaVord.