Spacecraft inhabit an environment, which presents many hazards to their structural integrity and continued operation, and are intrinsically expensive to repair. Naturally-occurring micrometeoroids and debris from previous missions can both produce significant impact damage, particularly in advanced materials such as carbon-fibre-reinforced plastic (CFRP). A sensor capable of recording impact events, and measuring the extent of the damage caused, would therefore be a useful tool in minimising the risks and cost of spacecraft operation. This paper considers the use of multiplexed optical fibre Bragg grating based sensors for use in this application. It is envisaged that sensors should be used to optimise replacement schedules and prevent service failure. The interrogation systems have been developed as collaborative research between the Optoelectronics Research Centre and the Department of Engineering Materials at the University of Southampton, also involving a number of external collaborators (including ESA, and, in the UK, the following: DERA, Sensor Dynamics, NERC, and DTI). We utilise superluminescant erbium doped fibres as the light source and an acousto-optic-tuneable filter (AOTF) as the wavelength-selective element. Our latest developments in interrogation technology result in the creation of a high speed, high-resolution multiplexed sensor. This technology shows promise for assessing impact damage caused by low, high and hypervelocity impacts. The potential for counting and characterisation of impinging particles from strain sensor readings (both transient and residual) is discussed