The UK aerospace industry is set to receive a significant boost as the Prime Minister announces a £975 million investment over the next five years, supporting thousands of highly skilled jobs
and driving innovation across the sector.
Key aerospace hubs in locations such as Broughton, Filton, and Derby will benefit from the Government’s extension of the Aerospace Technology Institute (ATI) Programme. This funding is designed to accelerate technological advancements, create job opportunities, and reinforce the aerospace industry as a cornerstone of British innovation and pride.
On Friday, 15 November, the Prime Minister will make his first visit to Wales since the recent Budget. Wales is home to one of the world’s largest aerospace clusters, employing over 20,000 people, highlighting the sector’s crucial role in the region’s economy.
Prime Minister Keir Starmer said:
From modern aircraft engines to helicopters, the UK’s aerospace industry is truly world-class.
The UK is at the forefront of cutting-edge aerospace industry, and by accelerating our investment we will unlock the tech of the future and take a crucial step forward in our mission to deliver growth and opportunity across our country.
The government’s commitment to the ATI Programme provides the aerospace sector with long-term confidence in the UK as a hub for cutting-edge technology. This investment will help solidify the nation’s global leadership in manufacturing wings and engines while advancing zero-emission flight technologies. Applications for the funding will open in January, with projects expected to launch in the autumn.
This initiative aligns with the government’s Industrial Strategy, where aerospace plays a critical role in achieving net-zero targets and strengthening national defense capabilities. The Royal Air Force and Royal Navy, which rely heavily on advanced aerospace technology, are among the key beneficiaries of this investment.
By supporting innovation and sustainability in aerospace, the government aims to position the UK at the forefront of global aerospace advancements, driving economic growth and solidifying its reputation as a leader in the field.
Business and Trade Secretary Jonathan Reynolds said:
"Our world-class aerospace sector added almost £40 billion to the economy last year, supporting high-skilled jobs in every part of the UK.
Backing the sector with this funding will ensure the UK can continue to pioneer new technologies, all while delivering the economic growth that will be felt in communities across the country.
Ahead of the visit, the Prime Minister has also confirmed £49 million worth of aerospace projects in Wales. When combined, the South West and Wales design and assemble around half of the world’s large civil aircraft wings".
The Prime Minister added:
"Growth is the defining mission of this government, and our investment will drive forward the future of the aerospace industry in Wales. Working in partnership with the Welsh Government, backed by the largest ever Budget settlement, we are determined to deliver the jobs and opportunities that will make working people feel better off".
First Minister Eluned Morgan said:
"Wales is a cornerstone of the UK’s Aerospace industry, with over 20,000 people employed here in high quality, skilled jobs in the Aerospace and Defence sectors.
I welcome today’s news, another in a succession of job announcements for Wales this autumn".
Airbus UK Chairman John Harrison said:
"The commitment of £975m for the aerospace sector over five years offers certainty for long-term sustainable aviation investment and highly skilled jobs, delivering on the UK’s R&D and growth plan and acknowledging Aerospace’s key role in the upcoming Industrial Strategy". Photo by Prime Minister’s Office, Wikimedia commons.