Three planned spaceports in Cornwall and Scotland could contribute up to £1.407billion to the economy if the wider spillover effects are taken into account, new research shows.
The study revealed the planned spaceport in Newquay - where Sir Richard Branson plans to launch his Virgin Orbit satellites - could provide £80million to the 海角视频 economy, based on the average return of £4 per £1 of public investment into the project.
As well as providing up to £80 million - or £240 million with spillover - to the 海角视频 economy, Spaceport Cornwall is also expected to create 448 jobs and £200 million of GVA.
Space Hub Sutherland could bring in £69.2million with the same return on investment applied, while Glasgow Spaceport could return a staggering £320million, based on the £80million in funding provided for Prestwick Airport.
The research found public investments in space produces higher returns on average than typical innovation investments.
For earth observation applications, £1 of investment provides an average direct return of £2 to £4, while telecoms brings £6 to £7 and navigation returns £4 to £5.
Analysis was carried out by holiday cottages provider Stay in Cornwall, using research gathered from sources including the 海角视频 Space Agency, London Economics, Spaceport Cornwall, Department for Business, Energy & Industrial Strategy and the Higher Education Statistics Agency (HESA).
The collates official reports to reveal the potential economic, environmental and academic impact of Spaceport Cornwall, whereby the site will play a crucial role in supporting the 海角视频’s satellite launches.
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This potential return on investment could be even higher if the 海角视频 maintains its membership with the European Space Agency, which brings £3 to £4 of direct return per £1 of funding.
In 2018, European Union-funded programmes accounted for £372 million - equivalent to 2.5% of total industry income.
With a reported seven sites pursuing spaceport status in the 海角视频 in Scotland, Wales and England, the return on global small launch investment could be as high as £1.784billion if the remaining five sites receive the same funding as Sutherland.
Shannon Keary, communications manager of Stay in Cornwall, said: “As a holiday provider for the local area, we feel that Spaceport Cornwall is an extremely interesting and unique point of interest for people looking to visit Newquay and the surrounding areas.
“Our findings show the many benefits that the spaceport will have on both the local community and for the 海角视频's economy as a whole.
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This includes how the spaceport is expected to support the 海角视频's government plans to capitalise on the predicted £10billion global launch market, as well as its huge potential for return on investment when it comes to potential tourism, research capabilities and employment.”
In November 2019, Cornwall’s Spaceport was given the go-ahead after the county council approved a £10.3million grant.
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There were demonstrations inside and outside the Cornwall Council chamber as environmentalists opposed the plan for a £20million satellite launch facility in the Duchy.
Prior to the meeting, protesters gathered from campaign group Extinction Rebellion and others opposed to the Spaceport project, which would involve Sir Richard Branson's Virgin Orbit starting horizontal launches of satellites.
But councillors agreed to hand over the money to develop Cornwall Newquay Airport. Spaceport Cornwall is proposed to create the first horizontal space launch facility in the 海角视频.
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It will be used to send small satellites into space using existing aircraft technology to take them into the sky before they are launched from specialist equipment under the wing of the aircraft.
Virgin Orbit has signed an agreement with Spaceport Cornwall which would see it launching its European operations from the facility.
The grant from Cornwall Council is part of a £20million package for the Spaceport which also includes £7million from the 海角视频 Space Agency and £2.5millon from Virgin Orbit.