UK Commits £43M to Green Aviation Projects to Drive Growth and Decarbonisation

On January 20, 2026, the UK government announced £43 million in funding for green projects aimed at supporting the aviation sector, protecting jobs, and unlocking new investment.

The announcement comes as the government advances expansion plans at Heathrow Airport, Gatwick Airport, and Luton Airport. The Transport Secretary is set to convene a meeting with major airlines, airport operators, innovators, and engineering firms to discuss how cutting-edge technologies can enable growth while accelerating the decarbonization of aviation.

By 2050, low-carbon fuel production alone is expected to generate up to £5 billion in economic value, catalyzing significant private investment. The funding is also expected to support skilled jobs in research, engineering, and technology development, while backing projects designed to substantially reduce aviation emissions.

Businesses, research institutions, and universities across the UK will be invited to compete for the £43 million through funding competitions launching in February. The grants will support research and development projects aligned with the goal of achieving net-zero aviation emissions by 2050.