DRIVE35 innovation fund: collaborate 2
Innovate UK · United Kingdom
Grant funding competition supporting late-stage collaborative research and development projects that design, develop and enable manufacturing of technologies supporting the UK’s transition to zero emission vehicles and a net zero automotive industry.
Summary
Deadline
18 Mar 2026
Complexity
Medium
Time to apply
20-60 hours
Updated
9 Jun 2026
Grant funding competition supporting late-stage collaborative research and development projects that design, develop and enable manufacturing of technologies supporting the UK’s transition to zero emission vehicles and a net zero automotive industry.
Eligibility
Applicant types
Not specified
Business size
SME, Large
Industries
Automotive innovation and manufacturing technologies related to zero emission vehicles and their supply chains.
Match funding
Required
Requirements
UK registered organisations participating in collaborative projects. The lead organisation must be a UK registered business of any size claiming grant funding. 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.
Eligible applicants
UK registered organisations participating in collaborative projects.
Funding and scope
Benefit amount
£2.5 million to £25 million grant funding request per project
Total fund available
£33,000,000
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.
Payment type
Reimbursement (in arrears)
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.
Eligible expenses
- Eligible project costs related to R&D, manufacturing innovation, development and testing activities required to deliver the project.
Ineligible costs
- Costs not eligible under DRIVE35 collaborate 2 IFS competition guidance.
Application and risks
Application platform
Innovation Funding Service (IFS).
Competitiveness
Closed / Not accepting applications
Decision timeline
Applicants notified on 22 June 2026.
Assessment process
Applications are reviewed by independent assessors. Projects that pass initial assessment undergo an economic value-for-money assessment followed by interviews.
Application sections
- Project details, application questions and financial information.
Application components
Not specified
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.
Timeline and partners
Opening date
Not specified
Project duration
Between 18 and 36 months
Project start
30 Sept 2026
Project end
Not specified
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.
Consortium requirements
- Consortium must include a vehicle manufacturer or Tier 1 supplier supplying parts directly to an original equipment manufacturer (OEM).
Additional guidance
[{"label":"Research Category","value":"Industrial research and experimental development."},{"label":"Technology Themes","value":"Promote Zero Emission Vehicle Technologies; Enhance Manufacturing Competitiveness; Future Vehicle Innovation including Software Defined Vehicles and Electrical/Electronic architectures."},{"label":"Subcontractors","value":"Subcontractors are allowed and must normally be UK based unless justification is provided for overseas subcontractors."},{"label":"Interview Stage","value":"Yes. Selected applicants will be invited to interview during the week beginning 18 May 2026."},{"label":"Key Requirements","value":"Projects must support the UK automotive supply chain, target commercialisation, deliver technologies for zero emission vehicles and contribute to UK industrial strategy priorities."},{"label":"Renewal Rules","value":"Organisations may submit multiple applications."},{"label":"Important Notes","value":"A 3.5% industrial contribution on grant funding is payable to the Advanced Propulsion Centre by all partners receiving grant funding."}]
Quick facts
- Status
- Closed
- Deadline
- 18 Mar 2026
- Funding amount
- £2.5 million to £25 million grant funding request per project
- Funding band
- Large (£5M+)
- Funding type
- Grant
- Payment type
- Reimbursement (in arrears)
- Audience
- Mixed
- Industry
- Automotive innovation and manufacturing technologies related to zero emission vehicles and their supply chains.
- Last updated
- 9 Jun 2026
- Published
- 8 Jan 2026