The government confirmed in a press release that the UK Space Agency will be joining the Department for Science, Innovation and Technology by April next year. The change is intended to cut bureaucracy, improve efficiency and make sure decisions on space are made with clear ministerial oversight.
The UK Space Agency will keep its name and identity, and staff will come from both organisations. Ministers said the merger will remove duplication and strengthen accountability, aligning with the wider government review of arms length bodies. The process is part of the “Plan for Change” which also involves changes in other public organisations such as NHS England.
The UK Space Agency, founded in 2010, currently operates as an executive agency of DSIT. In 2024/25 it supported investment and revenue of at least £2.2 billion for the national space sector. The government says the new arrangement will help make Whitehall more agile and ensure the sector continues to grow in the coming years.
What Is Being Suggested For Space Regulation?
Alongside the merger announcement, more than 60 recommendations were published on how to improve regulation of space missions. These come from leading firms and regulators working together on the Regulatory Sandbox for Rendezvous and Proximity Operations…
RPO missions involve spacecraft working together in orbit. They are important for future markets such as satellite repair, in-orbit manufacturing and cleaning up debris. According to the UKspace IOSM Priorities Paper, this market could be worth £2.7 billion globally by 2031, and British firms could capture a quarter of it with the right backing.
Astroscale, ClearSpace and D-Orbit worked with the Civil Aviation Authority, the UK Space Agency and DSIT to produce the Stage 1 report. It gives clarity for investors and businesses by stress-testing regulation for novel space activities. Stage 2 is already underway and will look in more detail at the particular issues raised by RPO missions. The recommendations are also expected to support the launch of the UK’s first active debris removal mission, targeted for 2028.
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How Has The Industry Taken This News?
The British Interplanetary Society welcomed the announcement. It said that accountable public structures are essential if Britain is to keep building on its history of excellence in space. The Society added that keeping the UK Space Agency’s identity and scientific expertise, while increasing oversight, would help deliver national space goals.
BIS said the transition must be managed carefully and consultatively, but it expressed confidence that the pioneering spirit of British space projects can continue. The Society noted the importance of ensuring visionary work in areas such as small satellites, in-orbit servicing and sustainability. It also pointed to the £18.6 billion contribution of the space sector to the economy and its support for 55,000 skilled jobs.
In a statement, Dr Paul Bate, Chief Executive of the UK Space Agency, said the changes would allow faster translation of the nation’s space goals into reality. He added that bringing together the UK Space Agency and space policy teams will strengthen the foundations already built in missions, programmes and regulation. Dr Bate emphasised that the agency would keep working closely with ministers to support the UK space sector and the country.
Sir Chris Bryant, Space Minister, said, “You don’t need to be a rocket scientist to see the importance of space to the British economy. This is a sector that pulls investment into the UK, and supports tens of thousands of skilled jobs right across the country, while nearly a fifth of our GDP is dependent on satellites. The aims for growth and security at the heart of our Plan for Change can’t be met without a vibrant space sector.
“Bringing things in house means we can bring much greater integration and focus to everything we are doing while maintaining the scientific expertise and the immense ambition of the sector.”