UK Space Launch Licensing: A Regime in Formation
To conduct vertical launches in the UK, companies must obtain a Launch Operator Licence from the Civil Aviation Authority (CAA). This is required for any spaceflight originating from UK territory, including rockets, spaceplanes, and high-altitude balloons. If a vehicle launched from outside the UK is intended to land or return to the UK, a separate Return Operator Licence is required. Missions involving both launch and return within UK jurisdiction may require both licences, depending on the operational profile.
The licensing process begins with early engagement, followed by development of a Safety Case and an Assessment of Environmental Effects (AEE). The Safety Case must demonstrate that risks – such as debris fallout or blast effects – are reduced to “as low as reasonably practicable” (ALARP) through modelling and mitigation. The AEE evaluates environmental impacts, including worst-case scenarios like propellant spills.
Applications are assessed against seven statutory tests, covering national security, international obligations, economic and reputational interests, financial robustness, engineering competence, and personnel integrity. The CAA applies flexible, risk-based judgment, with a typical timeline of around nine months. However, Skyrora’s application (see more below) took nearly three years, reflecting its status as the first UK vertical launch licence and the additional scrutiny involved.
Licence holders must coordinate airspace and spaceport operations and remain under continuous monitoring. Following the 2024 Space Regulatory Review, the CAA issued updated guidance (CAP2213 v2), including structured templates for Safety Cases, AEEs, and insurance modelling. These streamline approvals while retaining flexibility for novel designs – similar to the FAA’s “means-of-compliance” under 14 CFR Part 450.
The MASLO digitisation programme, currently in beta for air traffic services, is influencing space licensing workflows and will expand to automate assessments. An expanded licensing team supports faster processing.
In August 2025, the CAA issued the first UK vertical launch licence to Skyrora, enabling up to 16 suborbital launches per year from SaxaVord Spaceport. The licence includes conditions on insurance, data-sharing and airspace coordination.
Financial responsibility rules have matured: the CAA applies a Modelled Insurance Requirement (MIR), with the UK Government indemnifying excess liability. This lowers insurance burdens for SMEs and encourages innovation. While the regime has made significant strides, it remains in its nascent phase.
By contrast, the US FAA Part 450 regime is well-established, with over 120 licensed operations in 2023. Europe’s licensing remains fragmented, though EU-level initiatives aim to harmonize standards. The UK shows promise, but further streamlining and lessons from early applicants will be key to global competitiveness.
