Scientists have hailed a "groundbreaking moment" for the industry after company moved a step closer to carrying out 's first vertical launch into orbit from a site the UK.

Rocket Factory Augsburg has high hopes of launching a satellite from a spaceport on Unst, the northernmost of the Shetland Islands, this year.

The green light from the Civil Aviation Authority (CAA) is the final significant piece of approval needed for RFA to launch from the SaxaVord Spaceport.

The privately-owned site had already been granted a spaceport licence and a range control licence by the CAA.

Chief commercial officer Jorn Spurmann said securing the launch licence was a "groundbreaking moment for RFA and for Europe's space industry".

He added: "Securing the first-ever launch licence outside ESA's established site in Kourou (in French Guyana) is not just a regulatory milestone - it's a powerful endorsement of our technical excellence and a turning point for European space innovation.

"This licence marks Europe's bold step toward independent, competitive, and sustainable space access."

RFA is aiming to carry out its first test flight this year, which would be the first vertical launch of a satellite from European soil.

Known as RFA One, the launcher is a 30m-tall three-stage rocket which can deliver a 1,300kg payload to a sun-synchronous orbit around Earth.

Plans for the first launch to take place in 2024 were pushed back after the first stage of the initial rocket caught fire and exploded during a static fire test last year.

Mr Spurman added: "By enabling cost-effective and flexible launches from European main land, we are laying the foundation for a new era of space exploration and commercialisation, ensuring Europe remains at the forefront of the global space race."

Rob Bishton, chief executive of the CAA, said: "This is a new era for aerospace and granting the first vertical launch licence from UK soil builds towards a historic milestone for the nation.

"This licence is the culmination of extensive hard work behind the scenes to put appropriate safety and environmental measures in place before launch.

"Through effective licensing and regulation we are enabling the expanding the space sector to reach new heights."

RFA was established in 2018 as a corporate spinoff from OHB, via MT Aerospace Holding.