Grant Funding for Advanced Manufacturing & Novel Materials (UK and Europe) 

EIC, Eureka, Funding, Innovate UK, UKRI

Advanced manufacturing is one of the UK’s priority frontier sectors, and a major funding focus across Europe. For innovators working on novel materials, smart factories, automation, or low-carbon industrial processes, there is a deep and mature landscape of non-dilutive funding – spanning early research through to pilot lines and scale-up.

Is there grant funding for Advanced Manufacturing & Materials?

Yes. In the UK, advanced manufacturing sits at the heart of the Modern Industrial Strategy and is supported through a dedicated Sector Plan. The government positions the sector as a cornerstone of the economy, directly supporting around 760,000 jobs and contributing over £82bn in annual GVA. (Department for Business and Trade, 2025)

The Advanced Manufacturing Sector Plan sets a ten-year strategy to nearly double annual business investment in the sector from roughly £21bn to £39bn by 2035, backed by up to £4.3bn of public support, including up to £2.8bn for manufacturing R&D over the next five years (Department for Business and Trade, 2025)

At EU level, advanced manufacturing and materials are core to Horizon Europe (2021–2027), the EU’s €95.5bn research and innovation framework, with substantial volumes of manufacturing-relevant topics in Cluster 4 (Digital, Industry & Space) and related partnerships (European Commission, 2025) Within Horizon Europe, the “Made in Europe” public-private partnership alone channels around €1.8bn into next-generation manufacturing technologies (European Commission, 2025).

What kind of Advanced Manufacturing & Materials projects are eligible?

Across UK and EU calls, eligible projects typically sit within four overlapping domains:

  • Net-zero and resource-efficient manufacturing
    Low-carbon process routes, electrified or hydrogen-enabled production, energy-efficient plants, circular manufacturing, and material recovery approaches.
  • Digitised production, automation, and intelligent factories
    Industry 4.0 integration involves robotics, AI-enabled control, digital twins, IoT sensing, and advanced data infrastructure to increase productivity and flexibility.
  • Advanced and high-performance materials
    Novel composites, nanostructured materials, functional coatings, biomaterials, and lightweight alloys enabling step-changes in performance, durability, or sustainability.
  • Resilient supply chains and manufacturing capability
    Localised production strategies, additive manufacturing, critical-materials substitution, modular manufacturing, and workforce upskilling.

What costs are covered in manufacturing and materials grants?

Eligible costs are broadly consistent across UK and EU R&D programmes. They usually include:

  • technical staff wages and associated overheads
  • materials, consumables, and prototyping costs
  • subcontractor and specialist testing/validation services
  • equipment and capital where justified by the R&D need
  • travel, dissemination, and project management
  • IP or regulatory support where relevant.

For manufacturing projects in particular, funders expect capital and pilot-line costs to be tightly justified, clearly R&D-linked, and proportionate to the technical uncertainties being resolved.

Read our comprehensive report on finances in grant funding here.

How long does it take to secure grant funding?

Timescales depend on call complexity:

  • Single-applicant grants (e.g., Innovate UK Smart or thematic calls)
    Preparation: typically 3–8 weeks
    Decision: commonly 6–10 weeks, though varies by call.
  • Collaborative UK/EU projects
    Preparation: often 2–6 months, depending on partner build and scope.
    Decision: usually 3–6 months post-submission.
  • Multi-stage instruments (e.g., EIC Accelerator)
    Expect longer timelines due to staged evaluation and interview steps.

What Advanced Manufacturing & Materials projects have already won funding?

Public databases show thousands of examples, from industrial decarbonisation pilots to advanced composites and robotics-enabled production. Two good starting points are:

  • CORDIS (EU-funded projects under FP7, Horizon 2020, and Horizon Europe)
  • Innovate UK funded project archives (UK competitions and outcomes)

Within Venturenomix, recent manufacturing-adjacent successes include:

What funding programmes are most relevant?

Key programmes and instruments include:

  • EIC Accelerator – Up to €2.5m grant plus optional equity for SMEs scaling near-to-market manufacturing, automation, hardware, or advanced materials tech.
  • EIC Pathfinder – Funds high-risk early research (TRL 1–4), often the scientific basis for breakthrough materials/processes.
  • EIC Transition – Supports TRL ~4–6 validation and development to move promising materials/processes towards application.
  • EIC Advanced Innovation Challenges – Two-stage, challenge-led support for deep-tech routes needing early industrial/demand-side validation.
  • EUREKA programmes (e.g., Eurostars) – Industry-led international SME collaborations, nationally co-funded with country-specific rates.
  • Innovate UK sector competitions – UK grants for industrial decarbonisation, composites, batteries, aerospace, and automotive supply chains.
  • Innovate UK Innovation Loans – Low-interest finance for late-stage innovation and capex-heavy scale-up.
  • Innovate UK Investor Partnerships – Matched grants alongside VC investment for scaling validated manufacturing and materials ventures.
  • Horizon Europe Collaborative (Digital, Industry & Space) – Large consortia grants for smart manufacturing, industrial AI/robotics, circular production, and advanced materials for mobility/energy.

Where can I find out more?

We’ve put together a dedicated sector page outlining current priorities, thematic trends, and programme routes for Advanced Manufacturing & Materials innovation projects.

If you’d like to explore fit against upcoming calls, we’re happy to offer a no-obligation discussion to sense-check eligibility, TRL alignment, and competitiveness.

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