Notice

Space Cluster Development call 2022 - FAQs

Updated 18 October 2022

1. Pot A

1.1 Q. Do applicants have the option to apply for funding from either Pot A or Pot B?

A. Yes, applicants can apply to one or both pots and all proposals will be considered on their own merits providing the lead applicant meets the eligibility criteria.

1.2 Q. What is the project deadline for applicants who are successful for project scoping funding from Pot A?

A. Applicants who are successful for project scoping funding will be required to kick off their projects in November 2022, with a final delivery date of 31st March 2023

1.3 Q. Will applicants who have received project scoping funding receive additional funds to deliver a full project proposal as part of Pot A?

A. Applicants who deliver a scoping proposal can apply for additional funds, in a future call to deliver full proposals. However, there is no guarantee that it will be approved and will be subject to the usual competitive process and available grant funds as part of Local Growth’s allocation for Cluster Development. Applicants should therefore consider alternative possible sources of funding as part of their scoping exercise. We provisionally aim to run another funding call for full proposals in Summer 2023, but this would be subject to availability of funds.

1.4 Q. Will proposals that have a strong Industry/R&D focus be eligible for funding as part of Pot A where this activity achieves cluster growth? Following on from this, will the Cluster or SME be expected to be the lead applicant for these types of proposal

A. Yes. However, applicants are required to secure the support of their local economic development body and/or local space leadership group. Lead applicants will need to meet the eligibility criteria set out in the call and have the necessary status and internal processes and approvals already in place to be able to receive and allocate grant funding in accordance with the UK Space Agency’s terms and conditions.

1.5 Q. Is there any flexibility on match funding for Civic entities or not-for-profit organisations seeking to submit proposals under this call who may already be receiving government support?

A. Match funding may be provided through in-kind support as well as direct investment to the programme. This match funding can include other public funding, provided that receiving UK Space Agency funding does not breach any conditions of the other funding organisations. Applicants are reminded that one of the assessment metrics for the grant call includes catalysing investment, so demonstrating match funding and investment into the Space sector increases the likelihood of a successful application.

1.6 Q. Can scoping funds as part of Pot A be used to scope proposals that will be delivered under the Space Cluster & Infrastructure Funds (SCIF).

A. Scoping proposals to deliver larger projects under SCIF or any other R&D funding call would be an acceptable use of funding Pot A. However, we are unable to give firm commitments of the final criteria and eligibility requirements for SCIF at this time; or confirm whether it’s publication will align with the timings of the Space Cluster Development Call.

1.7 Q. Some of the clusters have a large geographical spread and it is anticipated that multiple proposals will be submitted from the larger regions. Can the lead applicant be an SME, academic institution etc if they demonstrate support from a cluster’s governing body?

A. Yes. Proposals are required to be accompanied by a letter of support from either the local economic development authority (e.g. LEP, Devolved Administration etc) or the local cluster entity as part of the eligibility criteria for submission; and further demonstrate that proposed activities align with regional plans and strategies.

1.8 Q. Can Pot A funding be used to facilitate visits to topical sites and locations to promote Space for STEM and educational purposes?

A. The use of grants funds for proposed activities must have a clear and impactful link to the defined metrics as outlined in the call documentation. Lead applicants are required to make the case for the appropriate use of public funds.

1.9 Q. If you have not previously received UK Space Agency grant funding are you eligible to apply under the requirements of this call?

A. The call is designed to build upon previous support that the UK Space Agency has provided at the local level- this might be investment, or it could be engagement with UK Space Agency teams or programmes. Applicants that we have not previously worked with are eligible to apply but must be able to demonstrate a level of local advocacy and coordinated leadership combined with a critical mass of space sector capabilities and presence that would provide assurances as to the maturity and deliverability of the opportunity the applicant’s proposal looks to address.

1.10 Q. If Centres of Excellence are unable to spend grant funds until their current funding has concluded, does this disadvantage applications from the Centres?

A. No. If successful, Centres will be required to exhaust their current Catapult managed operational funding allocation before utilising UK Space Agency-managed grants funds under the Cluster Development Call. This is purely to ensure that UK Space Agency funding is not being duplicated and that the 2022-23 Catapult managed funding for the Centres is not running concurrently with the new UK Space Agency-managed Cluster Development funding.

1.11 Q. What is the current funding allocation for Cluster Development and how secure is this given the potential change in Government during this current CSR period.

A. The current funding pot for Cluster Development is £5.2m and this has been ring fenced for the current CSR period to deliver the objectives under the National Space Strategy.

1.12 Q. Can a Prime or a tier 1 join a proposal as a project partner if they are not the lead applicant.

A Yes, applicants can form collaborative partnerships with businesses of any size. The applicant should look to define roles and responsibilities from projects partners within their application and provide letters of support from each alongside their completed application form.

1.13 Q. Can proposals cover both civil space and defence space areas of interest as both priorities in the national space strategy?

A. BEIS is responsible for civil policy and MOD for defence policy; the UK Space Agency is responsible for civil programmes and UK Space Command for defence programmes.

When delivering UK Space Agency programmes, we will be looking to maximise benefits to the taxpayer. So, if a project would meet both our objectives and also another department’s objectives (e.g. MOD’s), we would take this into consideration when evaluating the proposal’s value for money.

The UK Space Agency would not be in a position to fund proposals with outcomes that only serve a military purpose or only deliver against another government department’s objectives and not our own. If the proposal seeks to deliver economic growth opportunities to space sector companies which deliver products and services for defence use then this is still within scope as it is concerned with increasing the amount of revenue, investment and jobs in the sector.

1.14 Q. For proposals that are centred around Knowledge Exchange what TRL are proposals expected to demonstrate.

A. The call guidance has not defined TRL for Knowledge Exchange. All proposals will be considered on their individual merits.

1.15 Q. For those regions that have a significantly large geographical spread and consist of multiple clusters, will collaborations between these clusters be considered as pan-regional for the purposes of this call?

A. Yes, these applications will be considered as pan-regional

1.16 Q. What are the match funding requirements for proposals for private sector SME funding for R&D projects?

A. The match funding requirements are set out in the application guidance. The requirement is for 50% match funding from all applicants and/or their delivery partners, which can be in-kind. In line with general UK Space Agency policy, Academic Partners will be funded in all cases at 80% of Full Economic Cost.

1.17 Q. What is the percentage split of proposals that will be approved for scoping and full proposals

A. The agency has not pre-determined the number of proposals it will approve for either scoping or full proposals. Each proposal will be assessed on its individual merits.

1.18 Q. What date will funding be available for successful scoping proposals to apply for further support to deliver full proposals? What does this mean for project timescales?

A. Future funding rounds for Cluster Development within the current CSR period will be determined by the available funds left over following the outcome of this call. The requirement of any future call is TBC.

1.19 Q. Is there any limitation on the Catapult Centres of RTO’s applying?

A. No, however applicants are encouraged to consider the eligibility criteria before applying

1.20 Q. Quoting from the announcement. “No more than three full project proposals from Pot A will be entertained from any single region or geographic area. Applicants are therefore encouraged to co-ordinate applications through their local Space Leadership Forum.” Does the £500K upper limit apply per project or per cluster?

A. The £500k upper limit will be applied per project.

1.21 Q. Where proposals identify similar activities in various regions across the country, will these be reviewed, repackaged and encouraged to work together?

A. The Agency would want to capitalise on its investment and if there are activities that can be rolled out in a broader environment this will be considered. We would also seek to avoid duplication of effort and ensure value for money by encouraging collaborative working where there are clear synergies between activities and opportunities for cooperation.

1.22 Q. How do applicants identify their local space leadership group to co-ordinate proposals?

A. Local space leadership groups can be found on the Space Enterprise Community. https://spaceenterprise.uk/

1.23 Q. The total pot for SCIF is £76m compared to the Cluster Development allocation of £5.2m that’s quite a big difference, is what’s left in the Cluster Development pot going to SCIF? It would be helpful to understand the requirements of SCIF and how this aligns with Cluster Development to make a judgement on which programme to dedicate resources too.

A. The Space Clusters and Infrastructure Fund is still in the relatively early stages of development and the total funding pot for this programme has not been finalised - the figure of £76m is erroneous. SCIF will focus on providing larger amounts (£Ms) of grant funding for major R&D infrastructure projects that will support the development of cutting-edge technology and capabilities in the UK- projects that will be beyond the scope and budget of the cluster development funding call. SCIF is still subject to business case approval and until that time no availability of funding is guaranteed.

1.24 Q. What are the parameters of the ‘Space Sector’, how is this being defined?

A. We recognise that the Space Sector is broad and diverse in nature, however proposals that deliver on the metrics defined in the call documentation and can demonstrate alignment with the ambitions and objectives outlined in the National Space Strategy will be considered.

Space Cluster Development call 2022

2. Pot B

2.1 Q. Does Pot B funding as part of the Space Cluster Development call replace the Satellite Application Catapult’s personnel funding for the Centres of Excellence?

A. Pot B has not been designed as a straight replacement for operational funding for the Centres of Excellence but will bring the Centres of Excellence into alignment with how national space eco-systems are being supported by the UK Space Agency and the Satellite Applications Catapult across the UK as a whole. The Satellite Applications Catapult will continue to co-invest with the UK Space Agency to support the development of a thriving UK space ecosystem. This includes the continuation of direct support and expertise to all space clusters in partnership with the UK Space Agency to help space ecosystems realise their growth ambitions. Operational funding for all space clusters from the Catapult and the UK Space Agency will therefore be channelled via this shared funding call rather than two separate mechanisms. UK Space Agency’s Local Growth and the Satellite Applications Catapult’s National Capabilities and Clusters teams are working collaboratively to help support a vibrant space community, deliver on the UK strategic priorities and grow the economy.

2.2 Q. For those clusters that already have a cluster manager in post, are they eligible to apply for additional funding under Pot B?

A. Where a cluster manager is already in post, proposals must demonstrate additionality in activity and scope., or alternatively provide continuity for a cluster manager’s role once existing funding has been exhausted. There is a finite budget for the programme, which has historically been oversubscribed and it is unlikely that we will be able to fund all proposals received. We will therefore prioritise funding in areas where there are the strongest opportunities and the greatest need. Applicants are encouraged to think carefully about where UK Space Agency funding could add the most value and ensure they are robustly and accurately evidenced and costed.

2.3 Q. The call documentation outlines that grants will be awarded between £30k - £150k per annum from October 2022 – 31 March 2025 under Pot B of the Space Cluster Development call. For clarity what is the maximum funds that can be awarded under Pot B.

A. Grants will be awarded as a maximum of £150k per annum on the merits of their proposals. If the full amount has been applied for, it is expected that proposals outline a very strong case demonstrating value for money and need. Proposals will only be awarded the full amount under Pot B under exceptional circumstances- for example to mature clusters or current Centres of Excellence that can demonstrate evidence of high impact against the metrics outlined in the call documentation. It is otherwise expected that lower bids will be received for cluster managers.

Funding requests do not need to span all three years. For example, a single request of £30K could be submitted to cover financial year 22/23 to bridge a funding gap up to a point where other sources of funding can continue to support this resource.

Proposals that are deemed to be inflated to meet the maximum funding window or poorly evidenced from a financial perspective may be rejected rather than descoped due to time and resource constraints. Applicants are therefore encouraged to think carefully about where UK Space Agency funding could add the most value and ensure they are robustly and accurately evidenced and costed.

There is a finite budget for the programme, which has historically been oversubscribed and it is unlikely that we will be able to fund all the proposals we receive. We will therefore prioritise funding in areas where there are demonstrably the strongest economic opportunities and the greatest need.

2.4 Q. Can shared prosperity and EU funding be used as match funding under the requirements of this call?

A. Grants are subject to subsidy control rules – therefore there is an expectation that projects are match funded. Any match funding cannot be other public funds if those public funds are being used solely for the purpose of achieving the objectives of the project being funded via the grant.

2.5 Q. If successful, what are the expectations for the recruitment of a cluster manager if there is only a two-week window between the grant award and project kick-off?

A. Clusters should aim to canvass the interest of potential appointees in advance of a potential grant award to allow for a timely appointment. Project kick-off does not necessarily mean the appointment of a cluster manager within two weeks- but the process for recruiting one should be underway within this period.

A. There is no expectation that the two funding pots are linked however if proposals see value in tying these together then we would consider each proposal on its individual merits

2.7 Q. Will the funding allocation of £30k - £150k per annum under Pot B be pro-rata considering the projects will have a shorter delivery timeline in 2022/23?

A. Proposals are required to make reasonable profile assumptions according to their activities and project plans and demonstrate they can utilise their full allocation in each financial year within the CSR period.

2.8 Q. There are some Centres of Excellence that are hosted by universities as opposed to a local authority. The call documentation encourages proposals that are led by the local authority. Is there an expectation that these Centres are led by the local authority for the purposes of this call?

A. Proposals should ultimately be led by the most appropriate body, whether that’s a university or a company, but all proposals are required to be supported by either a local authority or local space leadership group.

2.9 Q. How many cluster managers will be funded under Pot B?

A. The Agency has not pre-defined the number of approvals under this call. Each proposal will be considered on its individual merits.

2.10 Q. For the Centres of Excellence whose current funding ends this financial year, and if successful funding under this call will commence on 1st April 2023 will grant agreement sign off under the current proposed timelines be less of a priority?

A. The Agency will aim to work under its current proposed timelines but will remain flexible on an individual basis.