Government grant funding available for collaborative automotive projects

Date: 30 June 2026

Applications are now open for collaborative R&D project funding as part of the government’s £4 billion DRIVE35 programme, delivered in partnership with the Advanced Propulsion Centre UK (APC) and Innovate UK.   

Collaborate opened for applications on 26 June 2026 and will close on 16 September 2026 at 11:00 BST. 

The competition comes under DRIVE35’s Innovation pillar, which focuses on delivering late-stage R&D and SME growth projects by providing targeted funding and support at various stages of the innovation journey.  

Collaborate supports R&D projects that are ready to bring zero-emission innovation to market. It offers organisations the opportunity to lead or join a consortium delivering impactful solutions in vehicle technology, with match funding of between £2.5 million and £20 million available for successful applicants. 

The scope also includes automotive software (i.e., software-defined vehicles), electrical and electronic architectures, and manufacturing competitiveness.  

An online briefing event is scheduled for 8 July at 13:00 BST to provide guidance for potential Collaborate applicants, followed by a live Q&A. Register here to attend. 

Led by the Department for Business and Trade, in partnership with the APC and Innovate UK, DRIVE35 commits a total funding amount of £4 billion to the UK automotive sector until 2035, making it a key initiative in advancing the UK’s capability in next-generation, zero-emission technology.  

Find out more about DRIVE35 and other funding opportunities.  

All grant funding is subject to HMG approval.