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UK Space Agency pumps £17m into tech projects
The agency is funding 17 different projects through its National Space Innovation Programme, including the design of an AI-powered satellite radar
The UK Space Agency is investing £17m in 17 different space innovation projects as part of its National Space Innovation Programme (NSIP).
The NSIP aims to support and accelerate innovation in the sector, and the funding covers projects across five strategic areas, including space domain awareness, in-orbit servicing and manufacturing, satellite communications, and earth observation.
Announcing the funding, space minister Liz Lloyd said that space technology “benefits people’s lives every day – from checking the weather to navigating your car journey home from work”.
“This funding backs the brilliant UK innovators developing the next generation of space technology,” she said. “By supporting our space sector, we’re strengthening the UK’s position as a world leader in space innovation and building technologies that will benefit people across the country for years to come.”
One of the projects receiving funding is BAE Systems Digital Intelligence, which will get £1.47m to develop a satellite-based service that detects and tracks radio signals from Earth, while Magdrive is being given £2m to create a propulsion system for small satellites that can be mass produced.
The University of Birmingham is partnering with the Alan Turing Institute to design an artificial intelligence (AI)-powered radar system to help understand and respond to objects in space, as well as improve space domain awareness, receiving £610,000.
Overall, the 17 projects are predicted to create up to 140 skilled jobs, and strengthen the talent pipeline in engineering and data science.
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Chairs of the Space Academic Network said they were “pleased to see how the UK Space Agency NSIP programme enables great innovation across industry and academia, often jointly supporting the development of real future technologies for the UK space sector”.
“The strengthening of collaboration between industry and academia over the last decade clearly demonstrates the power of working together,” they said. “The wide variety of technologies now being developed through NSIP is exciting to see, each one representing an opportunity to advance the sector and drive future growth.”
At the end of November 2025, the UK government also agreed to invest £1.7bn in European Space Agency programmes, bringing the UK’s budget for space innovation to £2.8bn over the next decade.
According to the government, every £1 invested in the European Space Agency will return £7.49 to the UK economy through contracts being given to UK industry and universities.
The UK Space Agency also recently invested £6.8bn in International Bilateral Fund awards for global partnerships, and £6.9m in funding for satellite communications projects.
UKspace executive director Colin Baldwin congratulated the projects receiving funding. “This investment expands the impact of the NSIP and provides the opportunity for space companies and academic institutions to develop innovative new sovereign capability that strengthens the UK in several important areas,” he said.
“We also welcome the government’s announcement that from 2026, it will be spending more on civil space than ever before. We look forward to working with the emerging ‘One Government’ approach to space to deliver security and growth for our nation.”
