The ATI will receive £685 million from the government for the financial years 2022-2023 through to 2024-2025, an increase of £235 million on the previous three-year period. Industry will provide co-funding, taking the total to more than £1 billion.

ADS Chief Executive Kevin Craven said: 

“This is a major vote of confidence in the UK aerospace industry. The uplift in funding will turbocharge our development of the technology needed to deliver net zero aviation, accelerating progress towards this global ambition.

“Industry match-funding for Government’s investment in the ATI will mean more than £1.3bn available for investment in aerospace R&D over three years, supporting and creating high value jobs in all nations and regions of the UK.

 “Aerospace generates UK exports worth billions of pounds a year, and in this technologically advanced sector, R&D investment is vital to maintaining our competitive advantage. The Government’s commitment to the ATI for the decade ahead is set to generate a substantial return on investment for the UK, and enable our innovative large and small companies alike to be world leaders in delivering the future of flight.”

Aerospace Technology Institute CEO Gary Elliott said:

"I am delighted that the UK Government’s commitment to R&T investment in sustainable aircraft has today resulted in an uplift to £685 million for the UK aerospace sector over the Spending Review period, in addition to the commitment at the Budget that the ATI Programme will continue until 2031.

"With the support of the Aerospace Growth Partnership, and with government investment matched by industry, the ATI will be able to invest more than £1 billion over the next 3 years in the cutting-edge technology needed to move towards our net zero targets.

"This has allowed us to reopen ATI funding to new applications from April and we will work with BEIS and Innovate UK to ensure that this funding drives UK economic growth and reduces global aviation emissions."

John Harrison, Airbus UK Chairman, said:

“As the aerospace and aviation sectors recover from the pandemic, this announcement by the UK government is a much-needed boost for the future of aerospace research and technology.

“We have huge ambitions to make aviation net zero by 2050, which includes a hydrogen-fuelled passenger jet by 2035, so we welcome the support of the British government to ensure Airbus, alongside our research partners, makes a major contribution to this global effort.”

John Pritchard, President - Civil Airframe, GKN Aerospace and ADS Vice President Aerospace:

“The Aerospace Technology Institute is a critical part of the UK’s aerospace sector, enabling businesses of all sizes to research and innovate. Today’s announcement provides a huge incentive to Industry, up and down the supply chain, to think differently and propose collaborative innovation work to Government.

"It is critical that Industry and Government continue to work together to build technology for the future, to deliver environmental and economic benefits throughout the UK.  ATI funding is a vital component to ensuring that the whole sector continues to recover, grow and invest in the future of flight as we work towards our Net Zero 2050 targets.”

Rolls Royce spokesperson:

“The ATI plays a vital role in delivering the strategic investment that will help the industry achieve the major technological breakthroughs required to achieve the UK’s ambitions of becoming a global leader in net zero aviation. We warmly welcome the news that through the ATI the UK government has committed to supporting the aerospace sector achieve its goals with an uplift in funding.

“We look forward to working with the ATI and accelerating the high value research carried out in partnership across the whole of the UK. This announcement helps secure the UK’s reputation as an internationally recognised centre of excellence for aerospace engineering and technology.”