US Defence giant Lockheed Martin plans to build its first satellite factory outside the US on British soil in a boost to the growing UK space industry.
This would be the company’s first such site outside the US and is expected to create 2,000 UK jobs.
According to sources, Lockheed Martin sees the UK as a growing market for the space sector thanks to spaceports in Cornwall and Shetland that are now offering local launch capabilities.
According to the Telegraph the US company has been “scouting out suppliers in the Newcastle area, where Britain has an existing hub of space companies.”
News of a new satellite factory outside of the US emerged at an event organised with the UK Ministry of Defence and RTC North at the Discovery Museum in Newcastle, to “provide an opportunity for over 100 attendees from suppliers across the North East to fulfil their potential in delivering defence capabilities and contribute to regional and UK prosperity.”
Paul Livingston, Chief Executive of Lockheed Martin UK said:
“SMEs play an important role for us in the UK and so we were delighted to host this event and support the development of the North East’s already thriving space sector. We are committed to helping the UK become a space nation and contribute to Levelling-Up the economy.”
A representative from the Ministry of Defence, added:
“Today’s event with Lockheed Martin and RTC North highlighted the scope and range of supplier capability in the North East. We hope that the event will help more of these diverse and innovative suppliers fulfil their potential to deliver defence capability and contribute to regional and UK prosperity.”
According to UK chief Paul Livingston, the aerospace giant is willing to make an investment that will bring British 2,000 jobs if the Government opens up the next phase of its £6 billion Skynet military communications programme to competitive bidding.
Satellites for the Skynet network are currently made by Airbus and a new batch is soon to be ordered for the newest iteration of the programme.
However, Lockheed Martin are keen to point out investment in a new UK facility is “not contingent on winning the bid but the UK must show it is open to other suppliers.” Mr Livingston said:
“We’re looking at the business case right now and I want to know for certain that the UK is going to compete.
“There’s two phases, there’s deciding it’s a competition, and then there’s deciding who’s won. If we wait until we’ve won, to put a spade in the ground, we won’t deliver the satellites on time.”
The UK space industry is worth £16.5 billion to the British economy and the industry employs 47,000 people, according to the UK Space Agency.
