Innovate UK has allocated a minimum of £100 million to fund innovation projects through the Growth Catalyst – Investor Partnerships Round 2 competition. This funding will be delivered as grants to UK registered SMEs, targeting growth-oriented start-ups from seed to Series A stages. The competition, opening December 10, 2025, and closing February 3, 2026, utilizes an Investor Partnerships model, combining Innovate UK’s expertise in identifying innovation with aligned funding from selected investor partners. This integrated package aims to accelerate the journey of high-potential start-ups toward scale-up and beyond, supporting research, development, and commercialization of innovations.
Innovate UK Growth Catalyst – Investor Partnerships Overview
Innovate UK’s Growth Catalyst competition offers grant funding—a minimum of £100 million has been allocated— alongside private investment through its Investor Partnerships model. This program targets growth-oriented start-ups, from seed to Series A stage, aiming to accelerate their scale-up potential. Successful applicants must demonstrate the ability to grow and scale, aligning with key sectors outlined in the UK’s Modern Industrial Strategy (“Invest 2035”). Support is also available through Innovate UK Business Growth, Connect, and the Catapults.
A critical requirement for participation is establishing a relationship and demonstrated “investment traction” with an approved investor partner before applying. This traction could include an indicative offer, ongoing due diligence, or a received term sheet. Innovate UK confirms project fundability, but the grant is conditional on the investor partner providing aligned equity investment, at least at the declared minimum. Without this aligned investment, even a selected project will not receive funding.
Project funding varies by research category. Feasibility studies can receive between £50,000 and £300,000, with a duration of 6-12 months. Industrial research funding ranges from £100,000 to £1 million, while experimental development projects can receive between £250,000 and £2 million. The competition closes at 11:00 am UK time on Tuesday, February 3, 2026, and Innovate UK provides support for accessibility and reasonable adjustments.
Competition Dates and Application Process
The Innovate UK Growth Catalyst competition opens on Wednesday, December 10, 2025, and closes at 11:00 am on Tuesday, February 3, 2026. Applications must be submitted online – applicants can either start a new application or sign in to continue an existing one. A minimum of £100 million has been allocated to fund innovation projects, contingent on receiving a sufficient number of high-quality submissions. This competition is designed to accelerate the growth of high-potential start-ups through a combination of grant funding and expert support.
Successful applicants must demonstrate a relationship and investment traction with an approved investor partner before applying. This traction could include an indicative offer, ongoing due diligence, or receipt of a term sheet. Innovate UK requires an Expression of Interest (EOI) to be submitted by the investor partner directly. Applications lacking this EOI will be deemed ineligible. The Innovate UK award is conditional on the aligned equity investment closing, with funding amounts dependent on the research category.
Project costs and durations vary by research category. Feasibility studies require costs between £50,000 and £300,000 with a 6-12 month duration. Industrial research projects must fall between £100,000 and £1 million with no duration specified. Experimental development projects require £250,000 to £2 million in costs. Innovate UK offers support for investment readiness and connections to investors through Business Growth, Business Connect, and Catapults.
Funding Amounts and Project Costs
Innovate UK has allocated a minimum of £100 million to fund innovation projects through this competition, contingent on receiving a sufficient number of high-quality applications. Funding will be awarded as grants, and project costs vary based on the research category. Feasibility studies must have total costs between £50,000 and £300,000, while industrial research projects require costs between £100,000 and £1 million. Experimental development projects are eligible for funding with costs between £250,000 and £2 million.
Successful projects must demonstrate aligned equity investment, led or catalysed by an approved investor partner, before any grant funding is issued. The Innovate UK award is conditional on this investment closing at a declared minimum amount. Applicants must establish a relationship and demonstrate sufficient investment traction with an investor partner—such as an indicative offer or being through due diligence—and the investor partner must submit an expression of interest to Innovate UK.
This competition’s funding is limited, meaning not all highly-scored projects may receive funding. Innovate UK reserves the right to adjust funding allocations based on policy changes or government decisions. Prior conduct, including outstanding payments owed to Innovate UK or UKRI, will be considered during funding decisions and could impact eligibility or funding amount. Project duration varies; feasibility studies can last 6-12 months.
Eligibility Criteria for Research Categories
Eligibility for funding through the Innovate UK Growth Catalyst competition depends heavily on the research category of the proposed project. For feasibility studies, total project costs must fall between £50,000 and £300,000, with a project duration of 6 to 12 months. Industrial research projects require total costs between £100,000 and £1 million. Experimental development projects have the highest funding range, between £250,000 and £2 million. These cost and duration requirements are key eligibility criteria.
A crucial component of eligibility is securing aligned investment led or catalyzed by an approved investor partner. Applications must identify an investor partner who has submitted an expression of interest to Innovate UK. Sufficient investment traction, like an indicative offer or term sheet, is also required. Without both a confirmed investor partner and aligned investment, an application will be deemed ineligible, even if otherwise strong.
Furthermore, to be eligible, applicants must be UK registered SMEs. Successful projects require independent confirmation of fundability by Innovate UK and must receive the aligned equity investment from the identified investor partner. The Innovate UK grant is conditional on this investment closing, at least at the declared minimum amount. Prior conduct, including outstanding payments to Innovate UK or UKRI, will also be considered during the funding decision.
Investor Partnerships – Programme Details
Innovate UK’s Growth Catalyst competition offers funding through the Investor Partnerships model, allocating a minimum of £100 million to innovation projects, dependent on the quality of applications received. Successful applicants – UK registered SMEs – will receive grant funding combined with aligned equity investment led or catalysed by pre-selected investor partners. This programme targets growth-oriented start-ups, from seed to Series A, accelerating their scale-up potential with support from Innovation and Growth Specialists, Innovate UK Business Connect, and the Catapults.
A key requirement for participation is establishing a relationship and demonstrated investment traction with one of Innovate UK’s approved investor partners before applying. This traction could be an indicative offer, ongoing due diligence, or a received term sheet. The investor partner must also submit an Expression of Interest to Innovate UK. Funding is conditional on the aligned equity investment closing, and Innovate UK reserves the right to refuse funding or adjust allocations based on factors like prior conduct or policy changes.
Project funding limits vary by research category. Feasibility studies can receive between £50,000 and £300,000, with a project duration of 6-12 months. Industrial research funding ranges from £100,000 to £1 million, while experimental development projects can access £250,000 to £2 million. Innovate UK offers accessibility support, including reasonable adjustments for applicants with disabilities, and encourages contacting them at least 15 working days before the competition closes.
Suitability Checker – Assessing Your Application
Innovate UK offers a “Suitability Checker” to help potential applicants determine if their application is likely to be suitable for the Growth Catalyst competition. This tool is designed to provide a quick assessment, taking only a few minutes to complete. Importantly, the Suitability Checker is a standalone resource and is not part of the formal application process. It aims to provide better-informed decision-making before submitting an application, helping applicants gauge their chances of success.
A key requirement for eligibility is establishing a relationship and demonstrable “investment traction” with one of Innovate UK’s approved investor partners before applying. This traction could include an indicative offer, ongoing due diligence, or receipt of a term sheet. The investor partner must also have submitted an Expression of Interest (EOI) to Innovate UK; applications without a confirmed EOI from the named investor partner will be deemed ineligible.
Successful projects must be independently confirmed as fundable by Innovate UK and receive aligned equity investment led or catalysed by the identified investor partner. Funding amounts vary by research category, ranging from £50,000 to £2 million depending on whether the project is a feasibility study, industrial research, or experimental development. The Innovate UK grant is conditional on the equity investment closing, even if the project is selected for funding.
Aligned Investment – A Requirement for Funding
Aligned investment is a strict requirement for funding through the Innovate UK Growth Catalyst competition. Applicants must establish a relationship and demonstrate “investment traction” with one of Innovate UK’s approved investor partners before applying. This traction could be an indicative offer, ongoing due diligence, or even receiving a term sheet. Without a submitted Expression of Interest (EOI) from the investor partner, the application will be deemed ineligible, highlighting the program’s focus on co-investment.
Successful projects require independent confirmation from Innovate UK and aligned equity investment led or catalysed by the identified investor partner. The Innovate UK grant is conditional on this investment closing – even if selected for funding, the grant won’t be issued without it. Minimum investment amounts are declared and must be met to receive the funding, solidifying the partnership model central to the competition.
This Investor Partnerships program combines Innovate UK’s expertise in identifying innovation with investor partners’ funding and expertise. The aim is to provide both grant funding and capital investment to accelerate innovation. Innovate UK offers support in preparing for investment and connecting with investors via Business Growth and Business Connect, but a pre-existing relationship with an approved partner is essential for application success.
Investment Traction – Examples and Evidence
Investment traction is a critical requirement for applicants to the Innovate UK Growth Catalyst competition. Successful projects must demonstrate aligned investment directly led or catalysed by the identified investor partner. Sufficient traction examples include receiving an indicative offer, undergoing due diligence, or receiving a term sheet from an investor partner. Without a submitted expression of interest (EOI) from the investor partner, applications will be deemed ineligible, emphasizing the need for a pre-existing relationship and committed funding.
The Innovate UK award is conditional; funding won’t be issued even if selected unless the aligned equity investment closes, meeting the declared minimal amount. This highlights that the grant funding is designed to complement private investment, not replace it. Projects must demonstrate the potential to grow and scale, with funding amounts varying based on research category—ranging from £50,000 to £2 million depending on the type of study (feasibility, industrial research, or experimental development).
Innovate UK emphasizes that this is a competitive process with a funding limit, meaning even highly scored projects may not receive funding. Prior conduct, such as outstanding payments owed to Innovate UK or UKRI, will be considered during the funding decision process. The program aims to support innovation by providing funding in combination with expert support from Innovate UK Business Growth, Innovate UK Business Connect, and the Catapults.
Business Support Resources – Innovate UK Connect & Growth
Innovate UK’s Growth Catalyst competition offers funding – a minimum of £100 million has been allocated – alongside private investment for UK registered SMEs. This is delivered through an Investor Partnerships model, targeting growth-oriented start-ups from seed to Series A. Crucially, applicants must establish a relationship and demonstrate investment traction with an approved investor partner before applying. Without an Expression of Interest (EOI) submitted by that partner, the application will be deemed ineligible.
This competition provides funding dependent on project type, ranging from £50,000 to £300,000 for feasibility studies, £100,000 to £1 million for industrial research, and £250,000 to £2 million for experimental development. Project durations also vary – 6-12 months for feasibility studies and unspecified lengths for the other categories. Successful applicants will receive grant funding conditional upon the aligned equity investment closing, with funding decisions also considering prior conduct and outstanding payments owed to Innovate UK or UKRI.
Innovate UK provides support for investment readiness through Innovate UK Business Growth and Innovate UK Business Connect. These resources can help SMEs understand their readiness for investment and connect with sector-specific investors, including through the Catapults. Accessibility and inclusion are prioritized, with reasonable adjustments available for applicants with disabilities – Innovate UK encourages contacting them at least 15 working days before the deadline to facilitate support.
UK Modern Industrial Strategy – Key Sectors
Innovate UK’s Growth Catalyst competition offers a minimum of £100 million in grant funding to UK-registered SMEs, contingent upon receiving a sufficient number of high-quality applications. This funding aims to accelerate the growth of seed to Series A start-ups through an Investor Partnerships model. Successful projects must demonstrate the potential to scale and align with key sectors outlined in the UK’s Modern Industrial Strategy (“Invest 2035”), including advanced manufacturing, clean energy, digital technologies, defence, creative industries, and life sciences.
The Investor Partnerships program requires SMEs to establish a relationship and demonstrate investment traction with an approved investor partner before applying. Sufficient traction includes receiving an indicative offer, undergoing due diligence, or receiving a term sheet from the partner. Innovate UK will independently confirm project fundability and aligned investment led or catalysed by the investor. The grant award is conditional on the equity investment closing at a declared minimum amount, meaning funding won’t be issued without it.
Project costs and duration vary depending on the research category. Feasibility studies can receive between £50,000 and £300,000 over 6-12 months. Industrial research projects are eligible for £100,000 to £1 million, while experimental development can receive £250,000 to £2 million. Innovate UK also highlights a commitment to accessibility and inclusion, offering reasonable adjustments for applicants with disabilities, and provides contact information for support.
