TAMPA, Fla. — The European Space Agency unveiled plans July 23 to expand its presence in the United Kingdom as the country announced 2.1 million pounds ($2.7 million) of funding for programs tackling space industry skills gaps.

ESA and the UK Space Agency said they are exploring the potential for a space quantum technologies laboratory in the country.

The space agencies are also considering ways to jointly support the development of in-orbit servicing, assembly and manufacturing capabilities — key growth areas under the U.K.’s national space strategy. 

The plans, unveiled during the annual Farnborough International Airshow in England, herald an expansion for ESA’s European Centre for Space Applications and Telecommunications (ECSAT) in the country. 

ESA’s Directorate of Connectivity and Secure Communications is headquartered at ECSAT, which currently employs around 100 people and also supports work on Earth observation, human and robotic exploration and space technology. 

“Together with the UK Space Agency we want to build on ECSAT’s leadership role in commercial space applications and telecommunications,” ESA Director General Josef Aschbacher said in a news release, and “grow our UK workforce to 200 people by 2030.”

Funding boost

The UK Space Agency also announced funding for five space-related training programs to bolster the sector, including professional development courses and training models led by universities, the Royal Institute of Navigation and a private education specialist.

The expansion drive comes weeks after the Labour Party won a landsite victory in the country’s general election, ending 14 years of Conservative Party rule.

Space has become an increasingly important part of the country’s economic strategy over the past decade, and while the new government has yet to detail its plans for the industry, there are no signs of a change in course.

“This government has a vision to build one of the most attractive and innovative space economies in the world,” a government spokesperson said via email without elaborating.

The U.K. is “on the cusp of developing Europe’s first small satellite launch capability,” the spokesperson said, which the government sees as a springboard for “providing high-value jobs, skills and growth across the country.”

The first vertical launch from the U.K. is expected this year, following Virgin Orbit’s ill-fated debut from the southwest of England in 2023 that contributed to the collapse of its U.S.-based horizontal launch business.

German launch provider Rocket Factory Augsburg is planning its first test flight from SaxaVord off the coast of Scotland in the fall.

However, El Segundo, California-based ABL Space Systems’ plan to launch from SaxaVord next year is up in the air after recently losing a rocket during a static-fire test.

Speaking at the Farnborough International Airshow July 22, recently appointed Secretary of State for Science, Innovation and Technology Peter Kyle announced 33 million pounds of funding for more than 20 national space projects, including support for a sub-orbital rocket test from SaxaVord by Germany’s HyImpulse.

Other projects include the development of microreactors by British aerospace and defense company Rolls Royce to support space exploration, and a heat-detecting telescope Cambridge University spin-out SuperSharp is developing to help tackle climate change.

“Working closely with our international partners, including the European Space Agency, I want to forge a strategic partnership with businesses, researchers, and investors,” Kyle said.

“A meaningful relationship anchored not in the short-term solutions and shorter funding cycles, but in certainty and stability.”

According to the UK Space Agency, the country’s space industry currently employs more than 50,000 people and generates around 17.5 billion pounds ($22.6 billion) for the economy.

Jason Rainbow writes about satellite telecom, space finance and commercial markets for SpaceNews. He has spent more than a decade covering the global space industry as a business journalist. Previously, he was Group Editor-in-Chief for Finance Information...