At the Paris Air Show, UK Industry Minister Sarah Jones unveiled a landmark £255m investment package aimed at cementing the UK aerospace sector’s role in driving the global shift toward greener aviation.
The funding, drawn from both government and industry partners, will accelerate the development of cutting-edge technologies, including hydrogen propulsion, lightweight composite materials, and advanced manufacturing techniques.
The announcement places the UK aerospace industry at the forefront of sustainable aviation, supporting economic growth and thousands of highly skilled jobs outside of London.
The funding will be channelled through the Aerospace Technology Institute (ATI) Programme, which has already supported over 300 businesses since its launch.
Jones commented: “This government is backing aerospace. This investment will keep it at the forefront of innovation, not only delivering economic growth but boosting the charge to net zero in 2030, two key pillars of our Plan for Change.
“This is the latest win for British aerospace in the run-up to the launch of our Industrial Strategy, which will turbocharge growth in our advanced manufacturing and defence sectors to take them to new heights, bringing new high-skilled jobs to every corner of the UK.”
Building a greener future: From hydrogen flight to AI controls
18 innovative projects will benefit from this funding round, with each focused on reducing carbon emissions and advancing the British aerospace manufacturing sector.
Highlights include:
- DRAGONFLY (Actuation Lab & Cranfield University) – Developing valves to manage ultra-cold liquid hydrogen, a vital step toward zero-emission flight.
- GENACOM (iCOMAT & the University of Sheffield) – Pioneering curved composite structures to make aircraft lighter and more fuel-efficient.
- DAA (Hover Inc.) – Creating AI-powered avionics for autonomous and hybrid-electric aircraft to boost flight safety and performance.
- SPARR (Zero Emissions Aerospace Ltd.) – Engineering hydrogen propulsion systems for new aircraft classes, including airships and electric VTOLs.
These projects reflect the UK aerospace sector’s dual focus: cutting emissions and enhancing competitiveness through technological leadership.
A growing industry with sky-high potential
The investment comes as the UK aerospace industry demonstrates robust growth. According to recent figures from ADS, the sector added £13.6bn to the economy in 2024 – nearly 50% more than in 2014.
Supporting over 100,000 direct jobs, the sector is a cornerstone of the country’s high-value manufacturing base, boasting a turnover of £34bn and record-breaking R&D spending of £1.9bn.
This upward trajectory is expected to continue, bolstered by government support and increasing global demand for cleaner aviation solutions.
Paris Air Show: Spotlight on British innovation
Minister Sarah Jones’ visit to the Paris Air Show, the world’s largest civil aerospace exhibition, underscores the UK’s global ambitions.
Touring the UK Pavilion, she met with leading industry players, including Airbus, Rolls-Royce, and GKN. The discussions focused on scaling UK-based manufacturing, expanding R&D investment, and promoting collaboration across borders.
Rolls-Royce Director of Research & Technology Alan Newby added: “Gas turbines are an engine for growth for the UK economy. We welcome the recognition of the technology’s vital role from the government in supporting both national and economic security.
“Together, government and industry investment in future gas turbine technologies will enhance the UK’s global competitiveness and help secure UK jobs and exports for the decades ahead.”
SMEs and universities at the heart of the transformation
Beyond the aerospace giants, this funding round supports a dynamic network of SMEs and academic institutions playing a critical role in innovation.
Notable university-led collaborations include:
- PACE-AM (Alloyed & Brunel University) – Enhancing 3D printing techniques for aluminium aerospace parts.
- AAIFC (Luffy AI & University of Southampton) – Using AI to design safer and more adaptive flight control systems.
- Sora Aero and BatWing (Sora Aviation with University of Bristol, Manchester & Bath) – Developing simulation tools and battery technologies for electric aircraft.
These initiatives represent a nationwide commitment to reshaping air travel, with research institutions and startups bringing novel ideas into the mainstream.
Industrial strategy and the road ahead for UK aerospace
The investment aligns with the UK Government’s forthcoming Industrial Strategy, which prioritises high-growth sectors like aerospace and defence.
With a clear focus on sustainability, innovation, and regional job creation, the aerospace package embodies the government’s ambitions to modernise British industry.
As global aviation pivots toward net zero, the UK’s latest funding injection positions its aerospace sector as a leader in delivering the cleaner, quieter, and smarter aircraft of tomorrow.






