The UK government has unveiled plans to support further growth in the domestic space industry through its UK Space Strategy, with billions of pounds of investment expected across a sector seen as strategically important for economic growth, national security and critical technologies.
As part of the development of the strategy, the
UK Space Agency worked with the Government Actuary's Department (GAD) to assess the financial and risk implications of a series of regulatory reforms intended to encourage investment and innovation while maintaining appropriate safeguards.
The strategy identifies seven space-related subsectors for development, with particular emphasis placed on satellite communications, in-orbit servicing, assembly and manufacturing (ISAM), space domain awareness, and assured access to space.
GAD's contribution focused on analysing the potential risks and financial consequences associated with the proposed changes. The work was intended to provide government decision-makers with a clearer understanding of both the potential costs to taxpayers and the benefits that could be delivered to commercial operators.
The analysis supported a package of reforms arising from an earlier government consultation on orbital liabilities, insurance, charging mechanisms and space sustainability. Measures announced include the introduction of a variable liability limits framework for orbital operations, described as a world-first approach, alongside a temporary waiver of operator liability for certain innovative missions, including ISAM and lunar activities, until 2030.
The reforms also include support for new approaches to third-party liability insurance and the replacement of decommissioning funds for satellite constellations with what the government describes as a more proportionate monitoring regime.
Nick Clitheroe, an actuary at GAD who worked with the UK Space Agency on the project, said the department's role was to provide an evidence base to support policymaking and help balance the promotion of innovation with the management of financial risk.
The government believes the measures will help create a more supportive environment for investment and commercial activity as the UK seeks to strengthen its position in the rapidly expanding global space sector.