techUK insight: DSIT publishes Advanced Connectivity Technologies sector study

10 Jun 2026 01:04 PM

On 05 June 2026, the UK Government published a study assessing the profile of the Advanced Connectivity Technologies (ACT) sector. The study revisited DSIT’s earlier ACT definition and taxonomy, measuring the sector against economic contribution, future workforce, and investment and innovation.  

The ACT sector is estimated to contribute £32.9 billion in revenue to the UK economy. Within this total, non-terrestrial networks (NTN) are the category where UK companies hold the strongest competitive position; in other categories, the sector relies more heavily on overseas firms.  

NTN attracted around £140 million of the grant funding directed to ACT organisations, while equity funding across the sector has exceeded £300 million since 2022. Free Space Optics (FSO) stands out as one of the clearest innovation pathways, despite the UK’s only moderate standing on patents.  

Read techUK’s recent report on the future of photonics in the UK 

ACT revenue is forecast to reach £62.8 billion by 2031. Private enterprise networks are expected to deliver the largest revenue gains, growing to £1.7 billion over that period, while Very Low Earth Orbit (VLEO) satellite systems and LiFi are projected to grow fastest, at annual rates of more than 45%.  

Conclusion 

techUK is working with its members and government to build on the potential of ACT to deliver economic growth, strengthen national security and support sustainable growth across the UK. To stay involved, register for updates here, and join techUK to be part of this programme.