The UK government has announced a £43 million investment to support green aviation, funding research and development projects aimed at achieving net-zero aviation by 2050.

The funding, announced by the Department for Transport and the Rt Hon Heidi Alexander MP on 20 January 2026, will support highly skilled jobs, stimulate private investment, and help pave the way for airport expansion. It will also enable research into zero-emission aircraft and strategies to reduce contrails that contribute to climate warming.

“This investment will provide the cutting-edge technology of the future, boost the economy, and create highly skilled jobs as part of our mission to drive national renewal,” said Transport Secretary Heidi Alexander. “Zero-emission planes, hydrogen fuels, and other emerging technologies are vital to reducing the climate impact of aviation while supporting airport expansion and economic growth.”

The initiative is part of a wider government strategy to expand Heathrow, Gatwick, and Luton airports. Today, the Secretary of Transport will meet with airlines, airports, innovators, and engineering firms to discuss how advanced technology can decarbonize the sector while supporting economic growth.

The UK government expects that low-carbon fuel production alone could add up to £5 billion to the economy by 2050. The £43 million investment is anticipated to attract millions in private investment and support highly skilled jobs in technological development and scientific research.

Companies, researchers, and universities across the UK will be invited to bid for their share of the funding, with competitions launching in February. Projects funded will focus on research and development that contributes to achieving net-zero aviation by 2050.

Industry Reactions

The Hydrogen Aviation Alliance welcomed the funding, stating that “hydrogen-powered aviation is critical for the UK to lead the future of aviation. The government’s support for pioneering companies and enabling the Civil Aviation Authority to set the right regulations for hydrogen fuel are key steps toward making hydrogen flights a reality.”

Duncan McCourt, CEO of Sustainable Aviation, highlighted that “aviation is one of the hardest sectors to decarbonize. This funding will help turn ambition into operational reality along key decarbonization pathways, contributing to carbon-neutral skies.”

Tim Alderslade, CEO of Airlines UK, added that “current investments in zero- or lower-emission technology play a crucial role in achieving a sustainable aviation future for the UK. This builds on last year’s Sustainable Aviation Fuel mandate and the soon-to-be-approved SAF revenue certainty mechanism. Continued collaboration through the Jet Zero Taskforce is essential to keeping net zero on track for our sector.”

The investment may also fund trials to better understand how to avoid condensation trails from aircraft exhausts, which contribute to global warming. The Civil Aviation Authority will develop regulations to support widespread use of hydrogen fuel, including support for pioneering companies and universities.

Part of the funding will also support the monitoring and use of sustainable aviation fuels (SAF) in regions such as Africa and the Caribbean, helping airlines comply with international carbon offset requirements and maintain competitiveness.

Additionally, the UK government is backing new SAF production plants with £63 million and providing £2.3 billion over the next decade via the Aerospace Technology Institute to support aerospace innovation and thousands of high-skilled jobs.

This investment positions the UK as a global leader in green aviation, ensuring the sector grows sustainably while contributing to climate targets.