In addition to the Government fund, industry will also pledge up to £1bn to create an institute, known as the UK Aerospace Technology Institute (ATI), which will be used to develop aircrafts that are “quieter and more energy-efficient”.

Spread over a seven year period, the funding aims to boost the industry and establish the UK as the world’s favoured supplier of aviation technology.

Secretary of State for Business, Innovation and Skills, Vince Cable, said: “A step change in technology is needed if these aircraft are going to deliver the improvements in efficiency and environmental performance needed to make air travel sustainable”.

According to the Government’s aerospace strategy, global growth in air travel will only be sustainable if future aircraft deliver substantial improvements in environmental performance, in particular noise and carbon emissions and reductions in operating costs of at least 20%.

Achieving these will be essential for the reputation of the sector as well as for future competitiveness, it states.

“It can only be achieved with radical design changes and new manufacturing methods. Industry is already taking decisions on where to carry out the R&D activities that will shape these aircraft.

Leigh Stringer

Action inspires action. Stay ahead of the curve with sustainability and energy newsletters from edie