The PSC In Conversation: Space for Growth - Star Wars: How Defence and Space are Critical for Economic Growth and Global Security
Why is Space the key to future national security? And how does this drive economic security? In our third podcast episode of our Space for Growth series, we are joined by Peter Death from CGI to discuss the role of space and satellites in defence.
Star Wars might be set in a galaxy far, far away, but some of the technology seen in the franchise, such as satellite weaponry and space-based defence systems, is increasingly being explored in real-world military research. Indeed, satellites are now a necessity for the military - but how does this contribute to economic growth? With the recently-announced increase in defence spending, to 2.7% of GDP by 2027, this has the potential to accelerate growth of the space and satellite sector, for example in the production of specialised satellites that enhance surveillance, GPS navigations, and data encryption for military use.
In our third and latest episode of our Space for Growth podcast series, we explore how space and defence are critical to economic security, global stability, and technological innovation. Hosted by Dr Fiona Jamieson, who is joined by The PSC’s Digital and Space Director, Phil Buckley, this episode features guest Peter Death - CGI’s Space, Defence & Intelligence Sector Lead - to discuss the UK’s defence capabilities, the role of space in national security, and how defence-driven technologies fuel economic growth.
Our 'hot takes' and key insights:
National security and economic growth are two sides of the same coin: if the UK is seen as weak or vulnerable, foreign investment will dry up.
Space isn’t just about satellites - it’s now a warfighting domain. The next war won’t be fought just on land, air, and sea - it’ll be fought in orbit and cyberspace.
Cyberattacks on satellites are a bigger threat than missiles. A well - executed cyber attack could shut down communications, banking, and national defences without firing a single shot.
The UK must act fast or risk becoming a second - tier space power. The US, China, and Russia are pushing ahead with space - based defence and security technologies - Britain must keep pace or risk falling behind.
Financial infrastructure is a prime target - our satellites offer resilience. If undersea internet cables were cut, satellites would be the only backup for global finance and banking systems.
Space weather is a bigger risk than people realise. A major solar storm could wipe out satellites, disrupt power grids, and cost the UK billions - investing in space weather defence is critical.
Automation & AI in space will transform industries on Earth. The UK’s expertise in robotics and AI is a huge advantage - autonomous space operations could reshape logistics, military ops, and communications.
The UK needs its own independent space intelligence. Relying on foreign satellite data means less control, less verification, and more vulnerability - building sovereign UK space assets is a must.
Read on for some of the key discussion points and make sure you check out the full The PSC in Conversation episode on Spotify.
Key themes discussed:
Defence is Essential for Economic Growth
Without national security, there is no economic security - foreign investment only flows into stable, well - defended nations.
The UK is the 7th largest arms exporter, helping allies defend themselves and supporting a rules - based order globally.
Defence - related technologies often spill over into the wider economy - GPS, radar, AI, and automation all started as military projects.
Space as the Backbone of Modern Defence
GPS, satellite communications, and missile warning systems are all defence - driven technologies that now power the global economy.
The UK’s Sovereign Space Catalogue and orbit determination system (Aurora) helps prevent collisions in space and protects national assets.
China, Russia, and the US are racing ahead in space - based defence - the UK must keep pace to maintain alliances and deterrence power.
The Importance of Deterrence in Global Stability
The UK’s ability to defend itself makes it a stronger global player and a safer investment hub.
The world’s biggest financial hubs - like London - are prime targets for cyber and physical attacks.
Undersea cables carry trillions in financial transactions daily. If attacked, they could cripple the economy - satellites provide an alternative.
Cybersecurity & The Future of Space Combat
The biggest near - term threat isn’t lasers or missiles - it’s cyber warfare against satellites.
A successful cyber attack on a GPS satellite could disrupt navigation, banking systems, and military operations.
UK investment in encryption & cyber - defence for space assets is critical to avoid vulnerabilities.
Lessons from the Productivity Paradox
New technology doesn’t always create instant growth - it requires new ways of thinking.
Early electric engines were no better than steam engines - until companies redesigned factories around distributed power systems.
Similarly, space tech can’t just "replace" existing infrastructure - it must enable entirely new solutions, like space - based data centers.
The Case for UK Investment in Space Defence
Direct - to - device satellite communications will eliminate reliance on terrestrial networks, ensuring faster, more resilient data flow.
Space weather monitoring is crucial - solar storms can damage power grids, disrupt satellites, and cost billions in economic losses.
The UK’s investments in novel sensing technologies (like laser ranging) will enhance tracking of space debris and threats.
Final Thought: The UK Can’t Afford to Ignore Space Defence
The next decade will determine whether the UK remains a leader in defence and security - or whether it falls behind global competitors. Space - based infrastructure is too critical to ignore, and failing to invest would leave the UK exposed to cyber, military, and economic risks.
Stay tuned for our next episode in the series - out next Thursday 3rd April - where we are joined by Director of Lab287, David Leslie, to discuss the role of space and satellites in advanced manufacturing, including the exciting possibility of Space Chocolate, as well as the possibility of much more humane treatments for cancer, and improved, greener communications technologies. If you missed them, catch up on our first two episodes in the series:
- Episode 1: with Lord Victor Adebowale, who introduces the government's Invest 2035 industrial strategy, and where we discuss the role that space and satellites could play within it.
- Episode 2: with Paul Brabant from HSAT.ai, where we discuss the role of space and satellites in the digital and technology sector, and how satellite technology is revolutionsing our oldest sector, agriculture.
About the podcast series:
In ‘The PSC in Coversation: Space for Growth’, we are joined by different guests to explore the role that the space and satellite industry plays in three out of seven of the growth driving sectors of the economy, as identified by the Invest 2035 strategy: digital and technology, defence, and advanced manufacturing. The strategy went out to consultation in the autumn of last year - The PSC submitted a response to this alongside people from across UK industry and academia, and the government has just finished considering our response alongside everyone else's.
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