Innovate UK (UKRI)

Investor Partnerships – National Materials Innovation Programme 1

Innovate UK grant for UK SMEs with advanced materials R&D projects, paid only alongside equity investment led by one of Innovate UK's approved investor partners. Projects can be feasibility studies (£50,000 to £300,000 total costs), industrial research (£100,000 to £1 million) or experimental development (£250,000 to £2 million); the grant covers up to 70% or 60% of costs for the first two and 45% or 35% for experimental development, and the aligned investment must at least equal the grant (twice the grant for experimental development). Projects must fit one of seven themes, from net zero energy and healthcare materials to metamaterials. You need investment traction with an approved partner before applying, and the partner must submit an expression of interest to Innovate UK. Closes at 11am on 19 January 2027.

Apply on the funder’s site

You could get: £50,000 – £2,000,000
Deadline: 78 days left; 19 January
Effort: Heavy; budgets, references, often several stages

Who can apply

UK registered micro, small or medium-sized businesses (SMEs) applying alone, which must carry out the project in the UK, intend to exploit the results from or in the UK, and be registered in the UK as an SME by the time the award is contracted
You must be invited to apply by one of Innovate UK's approved investor partners (listed in the Innovate UK Business Connect Investor Partnerships directory), have discussed and agreed the proposal with them, and the partner must have submitted an expression of interest and a Declared Minimum Aligned Investment directly to Innovate UK; without that EOI the application is ineligible
You need strong investment traction (for example an indicative offer, due diligence under way, or a term sheet) and must be able to complete the aligned investment through new shares or convertible debt
One application per SME in this round
Projects last 6-12 months (feasibility), 6-24 months (industrial research) or 12-24 months (experimental development), start on the first of a month and by 1 June 2027
Subcontractors are allowed (overseas ones only with evidence that UK ones could not do the work)
Businesses in financial difficulty, or with a failure to exploit a previous project, an overdue accountant's report or a breach of grant terms, are not funded
Applications from regions outside London, Oxford and Cambridge and from under-represented founders are encouraged

What it funds

Single-company feasibility studies, industrial research and experimental development projects in materials innovation (improving the functionality of existing materials, or developing and deploying new materials) with a clear route to market, focused on one of these themes and at least one sub-theme:

Net zero energy materials: next generation battery materials; electrochemical energy conversion materials; hydrogen materials; heat exchange, heat storage and waste heat recovery materials; energy harvesting materials; advanced nuclear and fusion materials
Future healthcare materials: biocompatible and regenerative materials; bioelectronic materials
Structural materials innovation (only the listed material classes): sustainable structural materials for the built environment; sustainable non-built environment structural materials; high performance structural materials; bulk structural materials for extreme environments
Advanced surface technologies and materials durability: surface protection and durability materials; tribological materials and surface technologies; surface technology materials for extreme environments; materials for degradation monitoring and lifetime management
Next generation electronics, telecommunications and sensors: wide and ultra-wide bandgap materials; materials for quantum; advanced connectivity and communication materials
Sustainable polymer, packaging and elastomeric materials
Metamaterials and metasurfaces: future telecommunications and advanced connectivity; convergent electronic photonic technologies; thermal, acoustic and mechanical metamaterials; energy security and net zero; healthcare

Grant rates are up to 70% (micro or small) or 60% (medium) of eligible costs for feasibility studies and industrial research, and up to 45% or 35% for experimental development. The award is conditional on the aligned equity investment closing at or above the declared minimum.

What it will not fund

Projects not carried out by SMEs
Collaborative R&D projects (single applicants only)
Projects that are not part of a company's growth plan
Projects unable to prove potential for return on investment and growth
Large capital infrastructure
Projects not invited by a specified investor partner
Projects that do not align with any listed theme and sub-theme
Projects focused on chemical or raw material synthesis rather than materials innovation toward an end application
Projects focused on enabling areas such as regulations, educational resources, behavioural sciences, policy, skills and relationships
Projects primarily developing, adapting or validating digital tools for materials innovation, such as AI, machine learning or LLM software (these can be used in support of the materials innovation)
Subsidies dependent on export performance or on use of domestic inputs

How to apply

Build a relationship and investment traction with an approved investor partner (Innovate UK Business Connect, Innovate UK Business Growth and the Catapults can help)
Agree the proposal with the investor partner, who submits an expression of interest and a Declared Minimum Aligned Investment directly to Innovate UK
Read the guidance on applying through the Innovation Funding Service; an online briefing is held on 5 November 2026
Apply on the Innovation Funding Service: project details, application questions (each up to 400 words, including theme and sub-theme), finances and Project Impact
Submit by 11am UK time on 19 January 2027
Independent assessors score innovation; the Investor Partnerships team assesses additionality and traction from an update by your investor partner
If selected, complete project setup; the project can start only once the aligned investment is confirmed

If costs, grant or duration fall outside the limits, email support@iuk.ukri.org with a justification at least 10 working days before the deadline. Ask at least 15 working days ahead for reasonable adjustments. Queries are not answered between 23 December 2026 and 4 January 2027.

Have ready

Optional appendix to the approach and innovation question (PDF, up to two A4 pages)
Optional appendix summarising the main people working on the project (PDF, up to two A4 pages)
Gantt chart (PDF, up to two A4 pages)
Risk register (PDF, up to two A4 pages)

The investor partner's expression of interest and Declared Minimum Aligned Investment go directly to Innovate UK and are required for eligibility.

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