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Economic Impact

The UK has one of the largest aerospace industries in the world. Investment in 2017 hit £2.5 billion, of which £1.5 billion was R&D. The UK government contributed approximately £225 million to this, with £150 million through the ATI and £75 million from other sources. For every pound government invests, industry can go on to invest as much twelve pounds.

The contribution the sector makes to the national economy has been growing at around 5 per cent per year since 2008. Steady improvement in productivity has kept employment broadly stable. The average value added per aerospace job is £90,000 – the sector is one of the most productive in the UK economy and average wages are the highest within UK manufacturing. 


Based on ATI programme investments through to 2026, the UK economy could benefit by as much as £114 billion up to 2035, creating and safeguarding 95,000 direct and supply chain jobs.  Part of this benefit is derived from spillovers from aerospace R&D to the wider economy.  Evidence shows that returns from aerospace research are as much as four times larger outside the sector as the returns to the aerospace sector itself. Collaborative ATI-funded projects encourage these spillover benefits.