DRIVE35 Innovation Fund: Demonstrate 2
Funding of up to £33 million for UK-registered organisations for late-stage collaborative research and development projects, supporting UK zero emission vehicles and net zero automotive industry.
This competition opens on 5 January 2026 and closes at 11am on 11 March 2026.
Who it is for
This competition is open to single and collaborations.
To lead a collaborative project or work alone, your organisation must be a UK-registered business of any size.
To collaborate with the lead, your organisation must be one of the following UK-registered:
- business of any size
- academic institution
- charity
- not-for-profit
- public sector organisation
- research and technology organisation (RTO)
Your project must:
- lead to a demonstrator product or process to enable new commercial opportunities or secure follow on investment
- have total eligible grant funding request of between £500,000 and £1.5 million
- be a minimum of 50% match funding (e.g. if you are asking for £500,000 in grant your total eligible project costs need to be a minimum of £1 million)
- align to at least one of the three scope themes
- be achieving TRL 5-6 or MRL 4-5 by completion, based on published Automotive Technology and Manufacturing Readiness Levels
- last between 9 and 12 months
- carry out all of its project work in the UK
- intend to exploit the results from or in the UK
- start from 1 September 2026
- end by 31 August 2027
Support you can get
This competition aims to support R&D projects that design, develop and manufacture strategically important technologies in the automotive sector. These projects will support the UK’s transition to zero emission vehicles and a pathway to a net zero automotive industry.
This competition is split into two strands:
Strand 1: DRIVE35 Innovation Fund: Collaborate
Strand 2: DRIVE35 Innovation Fund: Demonstrate (this strand)
Strand 2 aims to develop a product or process demonstrator to show increased capability and commercial exploitation opportunity as a result of the project.
For industrial research projects, you can get funding for your eligible project costs of:
- up to 70% if you are a micro or small organisation
- up to 60% if you are a medium-sized organisation
- up to 50% if you are a large organisation
For experimental development projects which are nearer to market, you can get funding for your eligible project costs of:
- up to 45% if you are a micro or small organisation
- up to 35% if you are a medium-sized organisation
- up to 25% if you are a large organisation
How to apply
Innovation Funding Service website
Support organisers
- Advanced Propulsion Centre
- Department for Business and Trade
- Innovate UK