Committee chairwoman and Labour MP for Glasgow West, Patricia Ferguson, said: “Scotland has real potential to become a leader in space launch, which space ports such as SaxaVord in Shetland are well-placed to seize.
“The economic benefits of this would be huge, but it’s a time-sensitive opportunity we’re in danger of missing.”
She added: “We’re urging the UK government to commit to sustained financial backing of the sector, and move towards long-term, co-ordinated investment that can match the fantastic ambition and momentum demonstrated by the sector.”
DSIT said it was providing investment.
A spokesperson said: “We are backing Scotland’s exceptional potential to lead Europe’s space launch revolution.
“Their spaceport, innovative rocket manufacturers, and unrivalled geographical advantages positions Scotland at the forefront of the launch sector.”
They added: “We are supporting this vital sector through sustained investment that matches the scale of this opportunity and have invested £96m into the Scottish launch sector, including £20m into Forres-based Orbex earlier this year.”