General Atomics

UK Government makes first investment in Britain’s orbital launch capability

In a UK first, the UK Government has invested £20 million and become a shareholder in spaceflight company Orbex as part of its Series D fundraising.



Image courtesy Orbex
 
Department for Science, Innovation and Technology (DSIT) Secretary Peter Kyle announced the investment at the 17th European Space Conference in Brussels. The investment comes as the UK government vows to develop Britain’s mission to regularly launch into orbit from its shores using UK-manufactured rockets, supporting growth in its expanding space industry and attracting investment from across the globe.  
 
Orbex is the only UK-owned launch services company in the UK. It is developing both small and medium sized space rockets and initial launch operations will take place from SaxaVord Spaceport in Shetland.
 
The Rt Hon Peter Kyle MP, Secretary of State for Science, Innovation and Technology, said: “Britain’s impressive toolkit of scientific talent, world class facilities and unique geography means we stand ready to lead the charge and to work together with our international partners as a key part of the new space revolution in Europe.  
   
“By investing £20 million in this rocket launch, we are not only helping the country to become a leading destination for small satellite launches in Europe but bringing highly skilled jobs and investment to communities and organisations across the UK, as part of our Plan for Change.    
   
“Supporting Orbex’s launch will also turbocharge the country’s position in the space sector and inspire our next generation of space professionals, who will be able to design, test, build and launch British rockets, carrying British satellites, from British soil.”   
 
With Orbex in the midst of an intensive testing programme, the funding will accelerate further development of Prime, a 19-metre long, two-stage rocket designed to transport small satellites into Low Earth Orbit. Orbex expects to launch its first Prime rocket towards the end of 2025.
 
Phillip Chambers, CEO of Orbex, said: “This first of a kind investment by the UK government demonstrates its confidence in the UK’s space rocket manufacturing and launch sector and is an exciting start to the opening of our Series D fundraising. We are entering the final preparations to deliver the most flexible and environmentally sustainable launch services to the global satellite industry.

"This investment paves the way not only for us to launch our first rocket this year but also to develop a larger rocket to enable us to compete in the European Launcher Challenge. These development goals are crucial to our longer-term development.”
 
In addition to the UK Government, the Export & Investment Fund of Denmark (EIFO), Octopus Ventures and private investor Sohaib Abbasi have also contributed to Series D so far. The total raised currently stands at £23 million.
 
Erik Balck Sørensen, CIO at Export & Investment Fund of Denmark (EIFO), commented: “At EIFO we are thrilled to get the UK Government on board in our common effort to build European launch capacity in Scotland.“
 
Simon King, Partner at Octopus Ventures, said: “From the moment we first backed Orbex in 2020, we knew they would go on to achieve amazing things ─ from their innovative rocket development, to their market leadership of UK launch services. It’s exciting to see the UK Government endorse the team’s hard work through this incredible commitment to the UK space industry.”
 
Sohaib Abbasi said: "Orbex is pioneering the way as the first spaceflight company to launch from UK soil. With a skilled team at the helm, Orbex is poised to become a leader in Europe’s expanding space launch services sector. Although it’s still the early stages of this thrilling industry, the future looks incredibly promising."
 
Orbex has two active patents in a number of European countries and the United States covering various parts of its rocket technology. It is powered by bio-propane, a renewable bio-fuel, which allows the rocket to reduce carbon emissions significantly compared to other similarly sized rockets being developed elsewhere around the world.

Britain is already a key player in the satellite industry, with Glasgow building more satellites than any other city in Europe.

Dr Paul Bate CEO UK Space Agency said: "Space is a fast-growing global industry and there is a real opportunity for the UK to play a greater role now than ever before. This new government investment is not just about launching a rocket, but building a more prosperous future for all, powered by space technology.

"Orbex is a highly innovative company that can serve customers in the UK, Europe and beyond with its Prime launch vehicle, create hundreds of high skilled jobs in Scotland and inspire a new generation to reach for the stars. We will work closely with them as we countdown to launch, continue to develop our national space capabilities and strengthen our international partnerships."

Scotland Office Minister, Kirsty McNeill, said: "It’s an exciting time for the Scottish space sector and this £20 million investment from the UK government in Orbex will help Scotland maintain our position as a leader as we look forward to the first satellite launch later this year.

"This important industry is playing a vital role in our Plan for Change, helping economic growth and employing thousands of people in good quality jobs, often in small towns and rural communities, across the country."
 
Phillip Chambers concluded: “With testing underway and launch now in our sights, Orbex’s Series D funding round remains open. We are actively speaking to investors for the second tranche of funding to be announced later this year and would encourage those wishing to be part of the journey to get in touch.”

Related

Gatwick invites bids for flagship food and beverage sites
Gatwick
Gatwick invites bids for flagship food and beverage sites
Launching its largest ever food and beverage tender, London Gatwick Airport is inviting bids for five South Terminal units and one North Terminal pub unit, spanning more than 3,800sqm.
Aerospace

19 Sep 2026

Stewart Wingate returns to lead Gatwick board as Northern Runway delivery begins
London Gatwick Airport
Stewart Wingate returns to lead Gatwick board as Northern Runway delivery begins
The former chief executive will succeed Baroness Margaret Ford as Gatwick shifts from securing runway approval towards delivery.
Aerospace

18 Sep 2026

Mark Johnston appointed Chief Executive of Edinburgh Airport
Mark Johnston
Mark Johnston appointed Chief Executive of Edinburgh Airport
Moving from his role as Chief Operating Officer at London Gatwick, Mark is taking up the role of Chief Executive at Edinburgh Airport.
Aerospace

18 Sep 2026

UK MoD receives AI-powered signal intelligence from Babcock’s Nomad platform
Nomad
UK MoD receives AI-powered signal intelligence from Babcock’s Nomad platform
Meeting a vital front line requirement for UK Armed Forces, Babcock has provided the Ministry of Defence (MoD) with a new signal intelligence capability from its AI-powered Nomad platform
New British Army accommodation built at Upavon
British Army accommodation built at Upavon
New British Army accommodation built at Upavon
Under a Defence Infrastructure Organisation (DIO) contract, Reds10 and Arcadis have delivered over 200 new bedspaces for Service personnel at Trenchard Lines, Upavon, as part of an investment in British Army accommodation.
Defence Member News

18 Sep 2026

Inside the Royal Navy exercise bringing more than 30 ships and aircraft to UK waters
HMS Queen Elizabeth passing Portsmouth Harbour
Inside the Royal Navy exercise bringing more than 30 ships and aircraft to UK waters
More than 30 ships and aircraft will operate north and east of the UK during Exercise Strike Warrior 26 as HMS Queen Elizabeth begins its autumn NATO training.
Defence

18 Sep 2026

UK project to beam power from the ground to PHASA-35 in bid for year-round stratospheric flight
PHASA-35
UK project to beam power from the ground to PHASA-35 in bid for year-round stratospheric flight
Space Solar will develop a 5.8 GHz wireless power system for PHASA-35 under a £1.3m ARIA project aimed at enabling year-round stratospheric flight.
Aerospace Space

17 Sep 2026

Teledyne imaging sensors launch on ESA’s Sentinel-3C and FLEX Missions
ESA's FLEX
Teledyne imaging sensors launch on ESA’s Sentinel-3C and FLEX Missions
The two European Space Agency (ESA) climate-monitoring missions will provide observations of Earth’s oceans, land surfaces and vegetation, using optimised hyperspectral imaging technology from Teledyne Space Imaging.
Space

17 Sep 2026

Harwell-based Open Cosmos secures €300m to scale sovereign satellite production
Open Cosmos
Harwell-based Open Cosmos secures €300m to scale sovereign satellite production
Harwell-based Open Cosmos has raised €300m to expand satellite manufacturing and space-based intelligence as the UK strengthens sovereign capability.
Defence Space

16 Sep 2026

UK MoD receives AI-powered signal intelligence from Babcock’s Nomad platform
Nomad
UK MoD receives AI-powered signal intelligence from Babcock’s Nomad platform
Meeting a vital front line requirement for UK Armed Forces, Babcock has provided the Ministry of Defence (MoD) with a new signal intelligence capability from its AI-powered Nomad platform
King warns of “existential dangers” of AI as tech leaders meet in Scotland
HM the King with attendees at AI conference in Scotland
King warns of “existential dangers” of AI as tech leaders meet in Scotland
King Charles urged leading AI companies to keep humans in control of powerful systems. Here's how UK defence and aerospace firms can prove AI is safe.
Insights Security

17 Sep 2026

MSI-DS launches TERRAHAWK RAPTOR mobile counter-drone weapon station
MSI-DS unveiled the TERRAHAWK RAPTOR during the opening day of DVD2026 on 16 September 2026. This RWS is optimised for C-UAS operations. Image: MSI-DS
MSI-DS launches TERRAHAWK RAPTOR mobile counter-drone weapon station
The new TERRAHAWK RAPTOR remote weapon station is designed for integration across tracked and wheeled platforms, including 4x4 vehicles and UGVs, as MSI-DS targets growing demand for mobile C-UAS capability.
Defence Security

16 Sep 2026