Unlocking Public Sector Opportunities: How Contracts for Innovation Fund Cutting-Edge R&D and Drive Market-Ready Solutions
Contracts for Innovation – the background
Contracts for Innovation is an Innovate UK initiative designed to tackle public sector challenges through funded R&D contracts. Formerly known as the Small Business Research Initiative (SBRI), this programme bridges the gap between public sector needs and market-driven solutions, fostering collaboration between government bodies, businesses, and researchers.
Public sector organisations set challenges that require new and innovative solutions. Businesses and research institutions then compete for fully funded contracts to develop and test their ideas in a real-world setting. These contracts are open to SMEs, large enterprises, research institutions, and non-profits (UKRI).
Key Features and Benefits
- 100% Funded R&D Contracts – Covers feasibility studies, prototype development, and demonstrator projects.
- Intellectual Property (IP) Retention – Innovators keep their IP, allowing commercialisation beyond the public sector.
- Early Adoption by Government – Provides a route to market through public sector partnerships.
- Economic Growth – On average, participants see a £127k annual turnover increase and a 9% business growth rate (Innovate UK)
Who Uses Contracts for Innovation?
The UK government has invested over £1.5 billion through this programme, driving advancements in sectors like:
- Healthcare – NHS-backed solutions improving patient care.
- Transport – Innovations supporting sustainable mobility.
- Security & Defence – Funding cutting-edge technology to enhance public safety.
- Clean Energy – Supporting net-zero goals with breakthrough energy solutions.
Major public sector partners include:
- Department for Transport
- NHS & Health Innovation Bodies
- Defence and Security Accelerator (DASA)
- UK Space Agency
Venturenomix and Innovation Procurement
Our team has been working in the field of innovation procurement, tendering and grant writing for over 20 years. This initiative is common in the European Funding landscape where we have been supporting clients (private and public) secure funding and design procurement calls. In 2024 we secured £1m in Contracts for Innovation for two of our UK based clients in the Health-tech sector.
Summing Up
Contracts for Innovation are open to businesses and researchers looking to collaborate with the public sector. These present an exciting opportunity for businesses, researchers, and public sector bodies to work together on high-impact R&D projects. By leveraging this initiative, organisations can scale innovation, secure public sector clients, and drive real-world change.
Want to explore funding opportunities or partner with the public sector? Get in touch today to learn more!
Oliver Cressall
I help businesses unlock grant funding to fuel groundbreaking research and innovation. With expertise in both UK and European grants including Innovate UK (IUK), Eureka, Horizon Europe, UKRI, CINEA, and the European Research Council – I specialise in guiding research teams and innovation-led businesses through every stage of the grant process.
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