Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what estimate he has made of the (a) cost and (b) liabilities to the public purse of developing a UK alternative to the EU Galileo satellite navigation system.

My rt. hon. Friend the Prime Minister announced in May that the Government is developing options for a domestic satellite navigation system as a contingency measure in the event that the European Commission and EU27 Member States do not offer acceptable terms for continued UK participation in Galileo.

Initial analysis undertaken in partnership with UK industry indicates that a UK Global Navigation Satellite System could cost between £3-5 billion over a ten-year build phase. In a subsequent steady state period, the annual operating and replenishment cost for a UK system is estimated to be comparable with the expected cost of continued UK participation in the Galileo programme (around £200m per annum).

Further analysis and study is ongoing with UK industry in order to provide greater clarity on the options for a UK GNSS, the costs and benefits and the start date of full services. During this early study phase of the programme, no significant liabilities have arisen.