UK Space Sector Rockets Economy by £1 Billion Amid Pandemic!
Space Industry Booms Despite Covid Chaos
The UK space sector has blasted its economic contribution up by nearly £1 billion, raking in £17.5 billion in 2021, new data reveals. This is up from £16.5 billion in 2020 — a stellar feat given the pandemic’s global havoc.
- Income soared by almost £1 billion
- Nearly 1,800 new jobs created across Britain
- Almost 300 more space organisations launched
- Regions like the West Midlands, North West, North East, Yorkshire & Humber, Wales, and Northern Ireland saw major growth
The sector now employs nearly 48,800 people directly and supports a whopping 126,800 jobs across the wider supply chain.
Top Figures Spell Confidence and Growth
Michelle Donelan, Secretary of State for Science, Innovation and Technology, said: “With the global space sector evolving fast, regions like Wales saw the highest proportional income leaps, and Northern Ireland, Yorkshire & Humber and the North East surged in new space firms. Employment climbed most sharply in the North West and East of England.”
Dr Paul Bate, CEO of UK Space Agency, added: “The £1 billion income boost and £635 million in new investment prove investors’ faith in UK space firms. Our agency is committed to pushing this growth further, benefitting the UK economy, science, and planet alike.”
“The rise in satellite manufacturing and space tech is driving the UK’s role in big international missions. Growth hotspots in Northern Ireland and northern England underline the need to nourish skills nationwide.”
Sector Shows Resilience and Optimism
The 5.1% income jump outpaces the global space industry’s 1.6% growth and dwarfs the UK economy’s 7.6% contraction during the same period. Despite soaring living costs, 60% of space firms expect income growth soon, 58% plan to hire more staff, and half foresee bigger investments.
Nearly 75% credit the UK Space Agency for supporting their commercial success.
Who’s Backing UK Space? Private Investors Lead the Charge
Private investors dominate with 89% of space sector funding. In 2022, a massive £635 million was pumped into UK space companies via 34 deals, mostly acquisitions.
Investment deals surged from just one in 2012 to 34 last year, with investors rising from one to 66 over the same period. Leading investors include Par Equity, Innovate UK, and Scottish Enterprise.
Spotlight: Goonhilly Earth Station Powers Lunar Missions
Goonhilly Earth Station in Cornwall is making waves with its deep space communications. It played a key role in NASA’s Artemis 1 lunar mission last year by commanding six onboard cubesats.
The station also supports European Space Agency projects and the first private lunar lander, ispace HAKUTO-R, plus India’s Chandrayaan 3 and Aditya L1 missions. Recently, it snapped up COMSAT teleports in the US to expand its reach.
Goonhilly’s team is developing cutting-edge tech like a giant super-cooled antenna and tracking systems, successfully aiding Virgin Orbit’s January launch from Cornwall’s spaceport.
Ian Jones, Goonhilly CEO, said: “Satellites are the invisible backbone of modern life, underpinning communication, navigation, security, and climate monitoring. But none of this works without specialist ground stations like Goonhilly monitoring and commanding them.”
Behind the Numbers: How the Report Was Made
The Size & Health of the UK Space Industry 2022 report by know.space covers the 2020/21 financial year. It surveys 1,590 UK-based space organisations, with 303 responses, tracking sector growth and investment trends. Methodological tweaks improve precision, with all data caveats transparently detailed in the report.
