Corporate report

UK Space Agency: review 2024

Published 23 May 2024

This was published under the 2022 to 2024 Sunak Conservative government

The Department for Science, Innovation and Technology (DSIT) has concluded its review of the UK Space Agency (UKSA). The review was part of the government’s Public Bodies Review Programme.

1. Background of the UK Space Agency

The UKSA is an executive agency of DSIT. It plays a major role in delivering the government’s National Space Strategy. It nurtures a thriving space ecosystem – a network of investors, scientist, engineers, integrators, academia and research labs – and a sector that generates an annual income of £17.5 billion and employs nearly 50,000 people across the country.

2. Purpose of the review

The review aimed to ensure that the UKSA is:

• delivering with a clear purpose which remains relevant and is appropriately classified;
• on track to be effective, efficient and aligned to the government’s priorities;
• well governed and properly accountable for what it does.

3. Recommendations and conclusions

The review team concluded that the UKSA should retain its Arms-Length Body status as there remains a need for UKSA’s technical function and expertise for delivery of the National Space Strategy (NSS), published in September 2021.

The review team indicated that the UKSA is focused on transforming into a more effective delivery organisation and that there was as a clear consensus amongst consultees that UKSA leadership are committed to driving a real and positive impact on the Agency.

This review recommended that further consideration was needed in three areas:

1. Identifying and resolving skill gaps within the business planning function.
2. Delivery of the Integrated Transformation Programme and ensuring that lessons learnt from previous change programmes were captured within the Agency’s current programme and
3. Strengthening financial management capability within the organisation.

Ministers considered whether an independently led review was the best way to support the Agency in the areas identified in this review and were mindful that there were other ongoing reviews of the UKSA. Instead of instigating a full review, Ministers have asked the UKSA to focus on fully delivering the Integrated Transformation Programme and to implement the recommendations from this review. 

Nine recommendations were identified, to improve governance and accountability processes. Officials in UKSA and DSIT have already started to address these recommendations.

Efficacy

1. The UKSA and DSIT Policy Sponsor team to identify areas of inter-team working where there is a need for clarity on the roles and responsibilities of the Agency and the Department.

Efficiency

2. The Policy Sponsor team to provide additional support and scrutiny around counter-fraud mechanisms deployed by the Agency and work with the UKSA to closely monitor progress.

3. The UKSA and policy sponsors to engage pro-actively with the next benchmarking data collection by the Cabinet Office and use this to support further efficiencies.

4. The UKSA to immediately take steps to publish its commercial pipeline and increase engagement with the DSIT commercial team to allow increased collaboration and partnership.

Governance

5. The Policy Sponsor team should work with the DSIT Public Appointments team to identify feasible solutions, which may include judicious use of NED term extensions.

6. The UKSA policy sponsors should ensure that their appointment criteria and role descriptions are clearly linked to the non-executive demands of the agency.

7. The UKSA should consider publishing the register of interests on its website to improve transparency of data.

Accountability

8. Quarterly formal performance meetings must be prioritised, in order to ensure a regular rhythm of formal review and performance management.

9. The priorities for the UKSA should be set out in an annual chair’s letter issued by the responsible minister, in line with the sponsorship code.