- 17 UK companies developing sustainable aviation fuel to receive share of new £63 million funding boost, supporting around 1,400 jobs
- latest investment builds on this year’s sustainable aviation fuel (SAF) drive, which will help position the UK as the world leader in homegrown sustainable aviation fuel production
- latest investment supports greenlighting of multiple airport expansion schemes to kickstart economic growth and deliver on our Plan for Change
Passengers are a step closer to greener flights as the Aviation Minister today (22 July 2025) announced the 17 cutting-edge UK companies that will share £63 million to accelerate sustainable aviation fuel (SAF) production.
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.
Today’s 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.
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.
Professor Mohamed Pourkashanian, Managing Director of the University of Sheffield’s Energy Innovation Centre, who is leading the project, said:
It is fantastic to see the University of Sheffield playing a leading role in the development of sustainable aviation fuel and supporting the aviation industry in its efforts to reduce its emissions. At Sheffield, we have some of the most advanced SAF research facilities in Europe and are excited to work with partners from the industry to help them test and develop new fuels and next generation clean energy technologies.
The AFF winners include a range of companies and are spread across the country, such as OXCCU Tech, which is developing a demonstration plant at Oxford Airport, to LanzaJet, which is building a commercial-scale plant in Teesside.
Andrew Symes, CEO and Co-Founder of OXCCU, said:
Support from the Advanced Fuels Fund is a key step in scaling our technology. This funding enables the detailed design and construction of OX2, our demonstration plant launching in 2026, and builds on the successful delivery of OX1. It brings us closer to producing lower-cost, lower-carbon aviation fuel and supports the UK’s ambition to become a global leader in SAF production.
Jimmy Samartzis, CEO of LanzaJet, said:
We’re proud that Project Speedbird, developed in partnership with British Airways, has been recognised by the Department for Transport as part of its continued commitment to advancing SAF in the UK.
This support demonstrates confidence in LanzaJet’s technology and the critical role ethanol-to-SAF can play in delivering economic growth, creating jobs and decarbonising air travel. Project Speedbird is vital to building a national SAF industry in the UK and to unlocking opportunity and innovation in the region.
We thank DfT for its leadership and vision in accelerating the transition to net-zero aviation.
