Asked by: Carol Monaghan (Scottish National Party - Glasgow North West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what plans he has for a joint, multi-year national space portfolio between his Department and the Ministry of Defence to support the implementation of the National Space Strategy.
Answered by George Freeman
In September 2021, my Rt. Hon. Friends the Secretary of State for Business, Energy and Industrial Strategy, and the Secretary of State for Defence published the UK’s first joint civil and military National Space Strategy. A core part of that strategy is delivering the defence space portfolio, which will support our goals in space, including both protecting and defending the UK and supporting economic growth.
The Ministry of Defence is investing an extra £1.4bn in Defence space technologies over the next 10 years. This is in addition to the £5bn investment in Skynet satellite communications over a similar timeframe. This represents a significant increase in Government funding for the UK space sector and will play a part in stimulating innovation, commercialisation, and growth across the wider sector. Defence will utilise elements of the Defence Space Portfolio funding to further support Space Science & Technology (which includes Research & Development), alongside existing funding.
Ministers and officials engage regularly with the Ministry of Defence to understand the opportunities and challenges to enable the UK’s space sector to grow and flourish, and I look forward to continuing to engage in that process as we implement the National Space Strategy.
Asked by: Carol Monaghan (Scottish National Party - Glasgow North West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what plans he has to publish a detailed implementation plan for the National Space Strategy.
Answered by George Freeman
The National Space Strategy, published in September 2021, sets out the Government’s plans to build one of the most innovative and attractive space economies in the world. Government is already pivoting to build on the success of the strategy’s publication to drive forward its delivery and prioritise commercial and investment enabling activities.
The BEIS Space Directorate is working closely with the Ministry of Defence to develop an implementation plan and we will engage with industry, academia, and the sector in due course.
BEIS jointly co-chairs the newly established National Space Board with the Ministry of Defence to oversee and drive delivery of the National Space Strategy’s ambitions and commitments across government. The strategy will be delivered jointly by several government departments and with the support of our thriving space sector: businesses, innovators, entrepreneurs, and space scientists.
Monitoring and evaluating the impact of initiatives against key success factors will be an integral part of delivering the strategy’s vision. The Government will work with the space sector on finding the right set of metrics to raise ambition, drive progress and monitor delivery.
Asked by: Carol Monaghan (Scottish National Party - Glasgow North West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made of the potential merit of a limit on the indemnity and liability required by UK space launch and satellite operations licensees.
Answered by Amanda Solloway
The Government conducted a call for evidence in March 2018. The evidence gained through this exercise and through further independent research commissioned by the Government has led Ministers to conclude that limits of liability are justified. The Government intends to calculate launch liability limits using the Modelled Insurance Requirement (MIR) approach. This will tailor the amount of insurance required and limit of operator liability to the risk and the diverse range of UK launch activities today and anticipated in the future and reduce operator costs in general compared with a fixed limit.
The Government does not yet have the information to determine whether a maximum limit on the insurance requirement and limit of operator liability for the amount calculated under the MIR for launch is justified as licence applications have not yet been received. It is the Government’s intention to establish a committee involving industry and the spaceflight regulator to keep the regulations under review and ensure that they remain current, relevant, and effective.
For orbital operations, the limits of operator liability for licences under the Space Industry Act will mirror those for licences issued under the Outer Space Act 1986.
Asked by: Carol Monaghan (Scottish National Party - Glasgow North West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if his department will amend Section 36 of the Space Industry Act in line with the Government’s stated intent so that space launch and satellite operations licenses will contain a limit of liability.
Answered by Amanda Solloway
The Government will limit launch liability limits using the Modelled Insurance Requirement (MIR) approach. This will tailor the level of insurance required and the limit of operator liability to the risk and the diverse range of UK launch activities today and anticipated in the future and reduce operator costs in general compared with a fixed limit.
For orbital operations, the limits of operator liability for licences under the Space Industry Act will mirror those for licences issued under the Outer Space Act 1986
It is the Government's intention that all operator licences issued under the Space Industry Act 2018 will contain a limit of operator liability with respect to claims under section 34 and 36 of the Space Industry Act. The Government does not intend to make changes to the primary legislation around liabilities and insurance in the Space Industry Act (2018) at this time, as the regulations and guidance laid before Parliament on 24th May 2021 contain the necessary provisions to enable implementation of the Government policy that all operator licences will contain a limit of liability.
However, the Government outlined in its response to the consultation on the draft Space Industry Regulations issued on 5th March 2021 that if suitable primary legislation is brought forward, the Government may seek to amend the wording in section 12(2) of the Space Industry Act 2018 from "may" to "must".
The Government is committed to supporting the space sector and we have outlined our intention to establish a committee involving industry and the spaceflight regulator; this will keep the regulations under review and ensure that the Government’s approach to commercial spaceflight remains current, relevant, and effective.
Asked by: Carol Monaghan (Scottish National Party - Glasgow North West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made of the potential merits of introducing a cap on the unlimited liability required by UK space launch and satellite operations licensees.
Answered by Amanda Solloway
All operator licences issued under the Space industry Act 2018 will contain a limit of operator liability with respect to claims under section 34 and 36 of the Space Industry Act.
The Government intends to calculate launch liability limits using the Modelled Insurance Requirement (MIR) approach. This will tailor the insurance required to the risk and the diverse range of UK launch activities today and anticipated in the future and reduce operator costs in general compared with a fixed limit.
For orbital operations, the limits of operator liability for licences under the Space Industry Act will mirror those for licences issued under the Outer Space Act 1986:
Operators will therefore not be facing unlimited liability for actions carried out in compliance with the Space Industry Act 2018 and licence conditions.
Asked by: Carol Monaghan (Scottish National Party - Glasgow North West)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, whether he has plans to carry out an impact assessment on low income households on the increase of the OFGEM price cap.
Answered by Anne-Marie Trevelyan
The price cap is revised every 6 months so that it is consistent with the underlying costs of supplying energy to households. Determining efficient costs is inherently challenging, but this is the product of Ofgem’s wide-ranging and in-depth benchmarking exercise. The Government has complete confidence in Ofgem, as the independent regulator of the GB gas and electricity markets, to appropriately execute its expert judgement in this regard. Ofgem estimate that the average household is £75-£100 better off each year than if the price cap was not in place. Consumers on capped tariffs can save even more my shopping around for a cheaper tariff. In addition, the Government’s Energy Company Obligation (ECO) and expanded Warm Home Discount (WHD) schemes will provide at least £4.7 billion of extra support to low-income and vulnerable households between 2022 and 2026.