UK Government Launches £219 Million Fund for Sustainable Aviation Fuel Development
The UK government has announced a £219 million low carbon fuels fund to enhance domestic sustainable aviation fuel production, aiming to create 15,000 jobs and contribute £5 billion to the economy by 2050. This initiative supports the Sustainable Aviation Fuel Mandate, which requires increasing proportions of sustainable jet fuel in the UK, starting at 2% in 2025 and rising to 22% by 2040.

The UK government will launch a £219 million low carbon fuels fund this summer to support sustainable aviation fuel (SAF) development. Innovative companies can apply for £93 million to advance low carbon fuel projects, with applications opening in mid-July 2026.
This investment builds on the £198 million already allocated since 2022 to promote cleaner aviation technologies. The SAF Mandate, effective January 2025, mandates that jet fuel supplied in the UK must be increasingly sustainable, with targets set to escalate from 2% to 22% by 2040.
This strategy aims to establish the UK as a global hub for SAF production while enhancing job creation and economic growth. The government's commitment to diversifying fuel sources and ensuring compliance with environmental targets is crucial for attracting private investment and ensuring long-term industry viability.




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