Referral of the Connectivity in Low Earth Orbit Programme by the UK Space Agency (UKSA)
The Subsidy Advice Unit (SAU) has published a report providing advice to the UK Space Agency (UKSA) concerning a proposed subsidy scheme, the Connectivity in Low Earth Orbit (C-LEO) Programme.
Administrative timetable
| Date | Action |
|---|---|
| 19 January 2024 | Final report published |
| 19 December 2023 | Deadline for receipt of any third party submissions (submissions after 5pm on this date cannot be taken into account) |
| 5 December 2023 | Beginning of reporting period |
Final report
19 January 2023: The SAU has published its report providing advice to UKSA concerning the proposed subsidy. The report sets out our evaluation of UKSA’s Assessment of Compliance concerning the proposed C-LEO Programme with the requirements set out in the Subsidy Control Act 2022.
(19.1.24)
Request from the UKSA
6 December 2023: The SAU has accepted a request for a report from the UKSA concerning the C-LEO Programme. This request relates to a Subsidy Scheme of Particular Interest.
The SAU will prepare a report, which will provide an evaluation of the UKSA’s assessment of whether the subsidy/scheme complies with the subsidy control requirements (Assessment of Compliance). The SAU will complete its report within 30 working days.
Information about the scheme provided by the UKSA
The Connectivity in Low Earth Orbit (C-LEO) scheme is designed to secure British R&D leadership in Satellite Communications (Satcoms), support economic growth and ensure that companies across England, Wales and Scotland are able to compete in the rapidly growing global market for these technologies. It will provide up to £93.75 million of grant funding support (with funding potentially continuing to February 2028) aimed at developing technology with a commercial pathway into the growing Satcoms sector.
Applicants will be able to apply individually or as part of a consortium and request funding for up to £25 million per project, with the percentage of project costs eligible for funding based upon the size and nature of the organisations involved. For large enterprises this will be 25%, for medium enterprises 35% and small enterprises 45%, with an additional 15% made available where projects demonstrate effective collaboration.
The competition will be open to proposals that demonstrate a commercial pathway for the technology to partake in Low Earth Orbit technologies, the key areas that have been identified as strategically meeting the programme objectives are:
Advanced payloads:
- the ‘communication hub’ & most advanced system within a LEO satellite, consisting of on-board digital processing and supporting systems
- this is most complex and highest value component of a satellite
Optical intersatellite links:
- a more secure and flexible way for satellites to transmit data between themselves and ground stations
Software and networking:
- AI to ensure satellites stay in position, and software that can be updated in orbit (critical to enabling LEO signal to be utilised in communication networks)
User terminals:
- what users (institutions or individuals) connect their devices to
Eligible costs will comprise personnel costs to the extent employed on the project, costs of equipment to the extent employed on the project, costs of subcontracting in relation to the project and other operating costs and overheads relating to the project. All costs must be incurred through the delivery of the project to be considered eligible.
Information for third parties
If you wish to comment on matters relevant to the SAU’s evaluation of the Assessment of Compliance concerning the C-LEO Programme, please send your comments before 5pm on the date stipulated in the timetable above. For guidance on representations relevant to the Assessment of Compliance, see the section on reporting period and transparency in the Operation of the subsidy control functions of the Subsidy Advice Unit.
Please send your submissions to us at UKSA_Satellites2023@cma.gov.uk, copying the public authority: Commercial@ukspaceagency.gov.uk
Please also provide a contact address and explain in what capacity you are making the submission (for example, as an individual or a representative of a business or organisation).
Notes to third parties wishing to make a submission
The SAU will only take your submission into account if it can be shared with the UKSA. The SAU will send a copy of your submission to the UKSA together with its report. This is to allow the public authority to take account of the submission in its decision as to whether to grant or modify the scheme or its assessment. We therefore ask that you provide express consent for your full and unredacted submission to be shared. We also encourage you to share your submission directly with the UKSA using the email address provided above.
The SAU may use the information you provide in its published report. Therefore, you should indicate in your submission whether any specified parts of it are commercially confidential. If the SAU wishes to refer in its published report to material identified as confidential, it will contact you in advance.
For further details on confidentiality of third party submissions, see identifying confidential information in the Operation of the subsidy control functions of the Subsidy Advice Unit.
Contacts
- SAU project team:UKSA_Satellites2023@cma.gov.uk
- CMA press team: 020 3738 6460 or press@cma.gov.uk