Orbex: Rocket-maker secures £20m investment from UK government ahead of take off
The UK government has invested £20m in rocket-maker Orbex as it prepares to build and launch from its site in the Shetland Islands.
The injection of funding is expected to help back Orbex’s Prime, the first UK-manufactured and UK-launched orbital rocket.
Prime is scheduled to take off towards the end of this year at the Scottish spaceport run by SaxaVord.
The investment news comes after the business confirmed in December 2024 that it was suspending development of a spaceport in the Scottish Highlands. Instead, the Anglo-Danish company said it relocate operations to the Shetland Islands.
Orbex’s Sutherland site has previously received more than £10m in public funding since 2018.
Speaking in December Orbex’s chief executive, Phillip Chambers, said the business could resume development at the Sutherland base in the next three years.
The decision has left SaxaVord as the only UK site in the race to be the first European base to launch a satellite into orbit in 2025.
Its closest rival, Spaceport Cornwall, has struggled to secure customers following the collapse of Virgin Orbit in the wake of a failed launch in 2023.
‘Orbex will turbocharge UK’s position in space sector’
Technology Secretary Peter Kyle said: “Britain’s impressive toolkit of scientific talent, world class facilities, and unique geography means we stand ready to lead the charge and to work together with our international partners as a key part of the new space revolution in Europe.
“By investing £20m in this rocket launch, we are not only helping the country to become a leading destination for small satellite launches in Europe but bringing highly skilled jobs and investment to communities and organisations across the UK, as part of our plan for change.
“Supporting Orbex’s launch will also turbocharge the country’s position in the space sector and inspire our next generation of space professionals, who will be able to design, test, build and launch British rockets, carrying British satellites, from British soil.”
Orbex is the trading name of Orbital Express Launch which was founded in 2015 by Chris Larmour and Kristian von Bengtson.
it was originally set up to crowdfund a private spacecraft mission to the Moon.
Space ‘is a real opportunity for the UK’
Dr Paul Bate, CEO of the UK Space Agency, added: “Space is a fast-growing global industry and there is a real opportunity for the UK to play a greater role now than ever before.
“This new government investment is not just about launching a rocket, but building a more prosperous future for all, powered by space technology.
“Orbex is a highly innovative company that can serve customers in the UK, Europe and beyond with its Prime launch vehicle, create hundreds of high skilled jobs in Scotland and inspire a new generation to reach for the stars.
“We will work closely with them as we countdown to launch, continue to develop our national space capabilities, and strengthen our international partnerships.”
Orbex is due to submit its accounts for 2024 by the end of September this year.
According to its most recently release results on Companies House, the firm made a pre-tax loss of £17.1m in 2023.
‘First of a kind investment’
Phillip Chambers, CEO of Orbex, said: “This first of a kind investment by the UK government demonstrates its confidence in the UK’s space rocket manufacturing and launch sector and is an exciting start to the opening of our series D fundraising.
“We are entering the final preparations to deliver the most flexible and environmentally sustainable launch services to the global satellite industry.
“This investment paves the way not only for us to launch our first rocket this year but also to develop a larger rocket to enable us to compete in the European Launcher Challenge. These development goals are crucial to our longer-term development.”