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

BAE Systems wins £5 million contract to keep BBMF Lancaster flying
The Battle of Britain Memorial Flight Avro Lancaster in flight
BAE Systems wins £5 million contract to keep BBMF Lancaster flying
The aerospace group will provide specialist design and airworthiness support as PA474 undergoes an extensive overhaul at Duxford.
Aerospace Member News

28 Aug 2026

Discover Airlines sets sights on UK expansion
Discover Airlines A320-200
Discover Airlines sets sights on UK expansion
Lufthansa Group's leisure carrier, Discover Airlines, has its sights set on UK expansion, as it adds Bristol, Glasgow and Inverness to its network from summer 2027.
Aerospace

28 Aug 2026

Failed carrier Blue Islands remains in debt to Jersey Government by over £7.3 million
Blue Islands ATR
Failed carrier Blue Islands remains in debt to Jersey Government by over £7.3 million
Nine months after the failure of the regional airline, the government has managed to recover around £1.8 million from the liquidator.
Aerospace

28 Aug 2026

Retired Air Vice-Marshal for the Royal Air Force Tom Burke joins GA-ASI
RAF Protector
Retired Air Vice-Marshal for the Royal Air Force Tom Burke joins GA-ASI
Retired RAF Air Vice-Marshal Tom Burke has joined General Atomics Aeronautical Systems, Inc. (GA-ASI), drawing on his military experience to support its current defence operations in the UK and lead on strategic market development.
Defence Member News

28 Aug 2026

ZeroUSV unveils first of its new Oceanus17 USV
Oceanus17 class of USV
ZeroUSV unveils first of its new Oceanus17 USV
ZeroUSV’s brand new Oceanus17 class of unmanned surface vessel (USV) has been unveiled, officially named The Lady of the Lake, marking a key advance in the development of British autonomous maritime capabilities.
Defence Security

28 Aug 2026

Royal Navy to defend neutral Ireland from beyond the 12-mile limit
Warships of Royal Navy
Royal Navy to defend neutral Ireland from beyond the 12-mile limit
Ireland has requested Anglo-French protection during its EU presidency, but constitutional concerns will keep the warships 12 nautical miles offshore.
Defence

28 Aug 2026

Scottish space tech to power self-consuming rocket engine
Alpha Impulsion
Scottish space tech to power self-consuming rocket engine
Aurora Avionics is to supply crucial electronic systems that will deliver key electrical power functions for a pioneering new rocket engine, that aims to cut propulsion costs and support next-generation spacecraft.
Space

27 Aug 2026

STFC reveals latest Ernest Rutherford Fellows
space nebula
STFC reveals latest Ernest Rutherford Fellows
Backed by an investment of £6 million, seven early-career physicists have been awarded Ernest Rutherford Fellowship’s by the Science and Technology Facilities Council (STFC), supporting research, from the search for dark matter to the physics of black holes.
Space

25 Aug 2026

Austrian ENPULSION moves to acquire UK space propulsion specialist Lift Me Off
Enpulsion space propulsion manufacturer buys UK company lift me off
Austrian ENPULSION moves to acquire UK space propulsion specialist Lift Me Off
Austrian spacecraft propulsion manufacturer ENPULSION has agreed to acquire British specialist Lift Me Off, bringing together electric and chemical propulsion capabilities in a deal that will require UK Government approval.
Member News Space

21 Aug 2026

ZeroUSV unveils first of its new Oceanus17 USV
Oceanus17 class of USV
ZeroUSV unveils first of its new Oceanus17 USV
ZeroUSV’s brand new Oceanus17 class of unmanned surface vessel (USV) has been unveiled, officially named The Lady of the Lake, marking a key advance in the development of British autonomous maritime capabilities.
Defence Security

28 Aug 2026

Antare launches AI physical security platform
Security staff
Antare launches AI physical security platform
Using AI to automatically review footage from body-worn and fixed cameras, Antare's new security platform provides organisations with a complete picture across every shift and site, transforming unwatched camera footage into intelligence.
Security

28 Aug 2026

Manchester Airports Group reports cyber security incident
Manchester Airport
Manchester Airports Group reports cyber security incident
Manchester Airports Group has reported a cyber security incident involving customer data, amid growing concern over cyber attacks in the UK.
Aerospace Security

27 Aug 2026