DRIVE35 Innovation Fund Collabo

Application Platform: Innovation Funding Service (IFS).

Application Sections: Project details, application questions and financial information.

Assessment Process: Applications are reviewed by independent assessors. Projects that pass initial assessment undergo an economic value-for-money assessment followed by interviews.

Co-Funders: Department for Business and Trade; Advanced Propulsion Centre UK

Collaboration Rules: Projects must be collaborative and include at least one UK registered SME claiming grant funding. Academic institutions cannot lead or apply alone.

Competitiveness: Approximately 50% chance of success based on previous competitions.

Consortium Requirements: Consortium must include a vehicle manufacturer or Tier 1 supplier supplying parts directly to an original equipment manufacturer (OEM).

Decision Risks: Applications may be rejected if they do not meet eligibility criteria, fall outside scope, fail value-for-money assessment or do not comply with funding rules.

Decision Timeline: Applicants notified on 22 June 2026.

Eligible Expenses: Eligible project costs related to R&D, manufacturing innovation, development and testing activities required to deliver the project.

Eligible Scope: Projects must design, develop or enable manufacturing of technologies supporting zero emission vehicles and strengthening the UK automotive supply chain, with clear plans for post-project commercialisation.

Funding Intensity: Industrial research: up to 70% for micro or small organisations, 60% for medium organisations, 50% for large organisations. Experimental development: up to 45% for micro or small organisations, 35% for medium organisations, 25% for large organisations.

Important Notes: A 3.5% industrial contribution on grant funding is payable to the Advanced Propulsion Centre by all partners receiving grant funding.

Ineligible Projects: Projects requesting more than 50% grant of total project costs, projects focused on business processes unrelated to vehicle design or manufacturing, development of automated driving systems, projects focused only on clean fuels, and projects outside the UK net zero automotive innovation scope.

Interview Stage: Yes. Selected applicants will be invited to interview during the week beginning 18 May 2026.

Key Requirements: Projects must support the UK automotive supply chain, target commercialisation, deliver technologies for zero emission vehicles and contribute to UK industrial strategy priorities.

Lead Organisation Requirement: The lead organisation must be a UK registered business of any size claiming grant funding.

Match Funding Requirement: Projects must be at least 50% match funded.

Project Duration: Between 18 and 36 months

Project End Date: Not specified (based on project duration).

Project Start Date: Projects must start by 1 October 2026

Publication Date: 2026-01-09 00:00:00

Renewal Rules: Organisations may submit multiple applications.

Research Category: Industrial research and experimental development.

Research Organisation Funding: Research organisations undertaking non-economic activity may share up to 30% of total eligible project costs.

Subcontractors: Subcontractors are allowed and must normally be UK based unless justification is provided for overseas subcontractors.

Technology Themes: Promote Zero Emission Vehicle Technologies; Enhance Manufacturing Competitiveness; Future Vehicle Innovation including Software Defined Vehicles and Electrical/Electronic architectures.

Total Fund Available: £33,000,000