The efficacy of magnetostrictive ribbon actuators as aerospace composites impact damage detectors have been investigated through finite element modelling and experimental studies, investigating both the sensitivity of magnetostrictive ribbons embedded and surface mounted using tensile and 3-point bending tests. From the modelling, it was found that the surface mounted ribbons increased the Young's modulus of the system compared to the composite alone, but caused the ribbons to delaminate from the surface before failure. The embedded ribbons did not appear to affect the structural properties of the composite, which was observed through the 3-point bending tests carried out. From the impact damage tests, it was determined that the ribbons had to be embedded 2-ply below the surface to measure impact energies greater than 1.6J. For surface mounted ribbons, damages of 1.6J to the surface could be detected and pinpointed for two ribbons 10mm apart. We also demonstrate in a simple way how a two-ribbon scheme may be used to determine damage position in the tested sample, which may be extended for wireless sensing.