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Cutting edge UK aviation companies to share £63 million boost

July 29, 2025
3 min read

Greener flights are a step closer after the Aviation Minister today announced the 17 cutting-edge UK companies that will share £63 million to accelerate sustainable aviation fuel (SAF) production on 22 July.

The boost will support around 1,400 jobs and secure Britain’s position as the global leader in the green aviation market – critical to provide the clean fuel that’s essential to realise sustainable growth in the aviation sector.  

The investment means government has provided £198 million to date through the Advanced Fuels Fund (AFF) to scale up cleaner aviation technologies.

Creating a clean aviation ecosystem will help power the next generation of airport infrastructure and capacity scale up, kickstarting economic growth and delivering the UK’s clean energy superpower ambitions to deliver on the Plan for Change

Low carbon fuel production could add up to £5 billion to the economy by 2050, position the UK as a global hub for SAF production and enable the UK to go further and faster with expansion plans.

Aviation Minister, Mike Kane, said: "This £63 million is lift off for Britain’s green aviation revolution. We’re not just backing brilliant British innovation, we’re creating thousands of high-skilled jobs and positioning the UK at the forefront of the global sustainable aviation market.

"From the labs of Sheffield to the runways of the future – this is how we kickstart economic growth, secure energy independence and make Britain a clean energy superpower."

Alexandra Herdman, Logistics UK's Senior Policy Manager said: “Logistics UK welcomes the additional financial support announced by the government to develop leading-edge green aviation projects as the sector continues on its journey to net zero.

“The aviation sector is notoriously hard to decarbonise and investment in innovative technology will help reduce the amount of carbon offsetting as well as carbon capture and storage that is expected to be required to meet the 2050 target.

“This investment into innovation for aerospace is a clear sign that the government is serious about accelerating the transition to net zero aviation.”

SAF is an alternative to fossil jet fuel which reduces greenhouse gas emissions on average by 70% on a lifecycle basis, from feedstock to biofuel, making it the key technology that will allow UK aviation to grow capacity while achieving net zero commitments.  

The SAF Bill will help secure the future of the aviation sector by boosting green fuel production in the UK and delivering cleaner flights. This bill will give investors the confidence to back sustainable aviation fuel production. It will help grow the sector, providing good green jobs and enabling the delivery of carbon savings. 

Announcing the new funding at the University of Sheffield’s Energy Innovation Centre – which just received £1.5 million in this latest round – the Aviation Minister, Mike Kane, saw firsthand the groundbreaking work on aircraft engine testbeds and revolutionary aviation fuels.

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