The UK government has pledged £30m to SaxaVord Spaceport in Unst, Shetland, unlocking an additional £30m in private funding to create a roughly £60m package. The money will fund a second hangar and two new launchpads at the UK's first fully licensed spaceport, authorised for up to 30 launches a year. Rocket Factory Augsburg and HyImpulse have signed launch agreements, though some test activity has been paused for technical checks and weather considerations. The funding is part of a wider £148m effort to boost UK space capability and jobs.
UK Pledges £30m to SaxaVord Spaceport, Unlocking £60m Public‑Private Package to Boost Shetland Launch Capability

The UK government has committed £30m to SaxaVord Spaceport in Unst, Shetland, as part of a new national space strategy. The funding is expected to unlock a further £30m of private investment, creating a combined public‑private package of about £60m to expand the site's launch infrastructure.
What the Funding Will Do
SaxaVord — located on a former RAF base at the northernmost point of the UK — is the country's first fully licensed spaceport and holds regulatory approval for up to 30 rocket launches a year. The company says the new funds will be used to design and construct a second hangar and two additional launchpads, improving capacity for commercial operations.
Industry Partners and Progress
Two German companies have already signed launch agreements with SaxaVord. Rocket Factory Augsburg (RFA) is preparing for a vertical orbital test flight from UK soil; SaxaVord paused one planned test after RFA reported it had "encountered an issue." HyImpulse Technologies GmbH plans to launch the second flight of its SR75 suborbital vehicle from Shetland later this year and recently raised more than €50m (£43m) in investment.
Safety, Weather and Timelines
Derek Harris, head of programmes at Space Scotland, said he was not concerned by possible slips in launch timing. He described the £30m government contribution as a "good starter" and emphasised that mastering the technology, ensuring reliability and prioritising health and safety justify cautious scheduling. He also noted that Scottish weather, including rain and storms, can affect launch windows.
'We are building the spaceport for the thousandth as much as the first launch,' said SaxaVord CEO Scott Hammond. 'We're trying to create a successful, safe and sustainable business. This is direct investment into Shetland.'
Wider Strategy and Economic Aims
Ministers say the new investment sits within a wider £148m package across Europe designed to help UK space technology firms win work and strengthen national security. Scottish Secretary Douglas Alexander said Scotland already builds more satellites than anywhere else in Europe and that the funding will help expand launch capacity. Lise Kaae, CEO of Heartland — which holds a majority stake in SaxaVord through its Wild Ventures arm — welcomed the government as an investor and partner.
The investment remains subject to due diligence and final sign‑off as SaxaVord continues talks with additional prospective customers.
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