The first round of aerospace focused special interest group (SIG) quarterly meetings has recently finished. Our groups have continued to balance strategic conversations about supply chain and trade constrains; and forward thinking into regulation, sustainability and research.

Overall, industry is grappling with a progressively more uncertain global context. Additionally, a common thread throughout was the need for further active engagement with policy makers to secure a favourable disposition to the aerospace sector that supports growth – whether by challenging conservative carbon budgets, safeguarding the UK industry’s competitive edge internationally, smoothing out supply chain vulnerabilities or advocating for investment in the commercialisation of aerospace technologies.

Below is a short summary of the key discussions in our groups:

Strategy Groups

Advanced Air Mobility (AAM)

  • Regulatory and policy: the AAM group continues to work closely with the Civil Aviation Authority to support the development of relevant regulation. The insolvencies of significant eVTOL OEMs in Europe exacerbate uncertainties in the development of regulation and standards at European Union Aviation Safety Agency (EASA) and EUROCAE. We are also calling for a clearer UK Government stance in support of the AAM market. The reestablishment of the Future of Flight Industry Group is a positive step in that direction, as well as the recent allocation of £20 million to support the development of regulatory pathways for eVTOL and drones.
  • From demonstration to commercialisation: ADS asks include support for experimental flight testing through a new experimental test permit process, and a call for a fourth, £80 million phase of the Future Flight Challenge beyond 2025 to mature and commercialise AAM.
  • Public engagement & technological readiness: emphasis was placed on understanding public attitudes and communicating social benefits of the sector with evidence-based narratives – backed by new research from the University of Birmingham commissioned by Future Flight Challenge and Department of Transport.

Sustainable Aerospace Board (SAB):

  • International aviation sustainability policy environment: participants evaluated the new proposed standards on emissions and noise arising from the International Civil Aviation Organization’s (ICAO) 13th Committee on Aviation Environmental Protection (CAEP), warning of a potential US divergence in policy priorities on sustainability. The group also discussed the EU Clean Industrial Deal, highlighting concerns that aviation might be deprioritised compared to other sectors. There was a consensus on developing advocacy to safeguard the European industry’s competitiveness internationally.
  • Challenging carbon budget assumptions: the group critically discussed the Climate Change Committee’s 7th Carbon Budget conservative estimation of efficiency gains and sustainable air fuel (SAF) uptake impact, advocating for an evidence-based review to influence policy. Members stressed the economic impacts of demand management to the growth agenda and industry’s ability to decarbonise and fund technological advancements.
  • SAF production & revenue certainty mechanism: debated the urgency to boost domestic SAF production and discussed the Revenue Certainty Mechanism. The group addressed potential taxation measures to distribute increased costs while addressing investor and production risks.

Sustainability Network

  • Policy updates: discussions included SAF mandates and supply challenges, regulatory developments and concerns around modern slavery risks in SAF supply chains. The group praised the National Wealth Fund renewed focus on clean energy, aerospace R&D funding, and supply chain resilience.
  • ESG reporting: challenges in sustainability reporting including supply chain emissions and CBAM (Carbon Border Adjustment Mechanism) compliance. In ADS, there’s been progress on the ESG Pathway assessments and the UK Defence ESG Charter Annual Report was published during this quarter, with plans for further ESG workshops. The group discussed artificial intelligence ethics and sustainable digitalisation.
  • Future initiatives: the group is keen to continue the conversation with themed workshops on circular economy, lifecycle assessments and sustainable supply chains.

Supply Chain Groups

Aerospace Export Focus Group (AEFG)

  • Navigating tariffs and uncertainty: the meeting focused on understanding the risks and potential opportunities posed by tariffs and trade barriers. Briefings were provided by the Department for Business & Trade (DBT), as well as Finance, Material Supplier perspectives. The group run a workshop to understand risks and opportunities, which fed back into DBT.

Aerospace Suppliers Forum (ASF)

  • A refreshed group: the first meeting of the refreshed ASF saw supply chain leaders convening to discuss the current state of the supply chain and address opportunities and challenges. The group is planning for a regular pulse survey to monitor the health and confidence levels of its members and plan for resilience and growth. Additionally, an engagement programme with customers will be put in place.
  • Tax credits and supply chain resilience: key topics included the impact of HMRC’s tax burdens and the stringent R&D tax credit approach on SMEs and supply chain vulnerabilities heightened by global dynamics.

Digital Transformation for Aerospace & Defence (DTAD)

  • Advancing digital standards development: active engagement in discussions around the need for industry-wide digital standards. Work to support harmonisation across the sector and help companies progress confidently along their digital journeys. The group is collaborating with the Engineering Standards Committee to contribute to the work of the Digital Standards Alliance.
  • Exploring the link between digitalisation and sustainability: With sustainability becoming a strategic priority across the sector, DTAD is highlighting the vital role digital technologies play in achieving environmental goals. Current areas of interest include the environmental impact of artificial intelligence and how digital tools are transforming the aircraft lifecycle—including providing greater insight into sustainability and emissions reduction.
  • Supporting members on their digital journey: The group is developing new ways to support ADS members with their digital transformation efforts. Plans include the launch of a platform where members can submit digital-related queries, access learning resources, and take part in training opportunities. More details on this initiative will be shared with members in the coming weeks.

Regulation Groups

Airworthiness Board (AWB)

  • UK/EU summit: the group is engaged and inputting into the Cabinet Office Domestic Advisory Group and the Regulatory and Level Playing Field Subgroup. Our focus is on the CAA/EASA relationship, advocating to strengthen mutual recognition and level playing field in the Trade Cooperation Agreements (TCAs).
  • Development of standards: SAE international, a standard development body, presented to the group in line with our strategic efforts to have the UK ply a more active role in the development of global standards to support airworthiness regulations.
  • A new US administration: we were happy to welcome a familiar face back into ADS, Andy Phillips, in his new capacity as Airworthiness and Regulatory Affairs Manager at GAMA – the US trade body for aerospace manufacturers. Andy provided a political update following Trump’s administration taking office and set out the organisational changes at the FAA.
  • Strategic engagements: ADS has supported ongoing engagements between the CAA and GAMA in line with the Aerospace Sector Council’s strategic priorities to align our regulations with key export markets.

Civil Aviation Safety Group (CASG)

  • Safety management systems: continues to present challenges for industry. The group identified a stronger need for the regulator to have more strategical thinking and engagement with industry, and we will advocate for them to publish a strategy like EASA’s European Plan for Aviation Safety.

Looking Ahead…

Stay tuned for more detailed follow-ups on the upcoming events of our special interest groups. If you are interested in joining any of the above, do not hesitate to contact our team (david.gomez-masipe@adsgroup.org.uk) or apply using the ADS Members Area.