The UK should act now to secure its place at the forefront of the
new global “race for space”, a report
‘The Space Economy: Act Now or Lose Out' says
today (Tuesday 4 November 2025).
The influential cross-party House of Lords UK
Engagement with Space Committee says that space is
transforming our lives, and dramatic falls in launch costs -
coupled with rapid innovation in satellite design - have opened a
new frontier which promises economic, scientific and security
benefits for the UK.
The UK's space industry is a success story, the committee says,
and with a clearer strategy, strong leadership and smart
investment, can build on its world-class expertise to be a lead
player in the new, global space economy.
Among its recommendations to the Government are:
- Provide clear strategic direction by publishing detailed,
funded delivery plans for national space capabilities.
- Prioritise multi-use technologies by investing in systems
that serve both national security and commercial growth.
- Appoint a dedicated Space Minister and Space Champion to
drive cross-Government co-ordination and industry engagement.
- Reform funding by moving from small grants to long-term
procurement that attracts private investment.
- Lead in future space regulation by developing agile,
forward-looking rules to keep the UK competitive and trusted
globally.
- Address the space skills gap and establish a Space Skills
Taskforce to train the next generation of talent.
- Strengthen international partnerships to ensure UK space
co-operation is part of foreign policy development.
- Champion sustainability and safety by leading global efforts
to tackle space debris and protect orbital environments.
The report says that far from being the preserve of astronauts
and rockets, space technology underpins daily life on Earth -
from GPS satellites guiding transport networks and smartphones,
to banking systems relying on satellite timing to secure global
transactions, to weather satellites supporting farmers. Climate
scientists and urban planners use space data to track emissions
and design sustainable cities.
In the years ahead, the importance of space will only grow, it
says; from manufacturing medicines in microgravity, to developing
solar power stations in orbit, the next generation of innovation
will depend on access to space.
The UK's 2021 National Space Strategy set out an ambition to make
Britain a leading space power. But the report concludes that
progress has been uneven, and the Government must move decisively
now to turn ambition into action.
It adds that while the market opportunities for a UK-based
launcher and UK-based spaceports remain unclear, “the question of
launch requires serious consideration. The Government needs to
provide clear answers about the commercial opportunities
available for a UK-based launcher, what kind of launch capability
is needed … the military and civil need for sovereign launch
capability, and whether there is a case for building more than
one spaceport”. It also says the Government should clarify its
position in regards to programmes such as Galileo, the EU's
global navigation satellite system.
Committee chair Baroness (Cathy) Ashton says:
“Only the most strategic and forward-looking nations
will capture the economic and scientific rewards of this new
space age. With the right leadership, co-ordination, and
investment, the UK can be there. Space is
transforming the world, and our report found much to be positive
about. Britain should play a role in leading that transformation
or risk being left behind.”
