Innovate UK is investing up to £5 million to help UK AI SMEs take a proven AI or machine learning product out of the pilot stage and into real operational use.
This competition is Phase 1 of the BridgeAI Deployment Catalyst, a three-phase programme worth up to £52 million in total. It funds AI suppliers and deployer organisations to build an evidence-based case for deploying an AI system that performs, controls or coordinates operational activity, like running equipment, managing a production process or orchestrating a workflow. Strong projects can be invited to apply for Phase 2, worth up to £1 million, and Phase 3, worth up to £2 million.
Below, I have explained the key things you need to know about this competition before you apply: who is eligible, how much funding is on the table, and what the application process looks like.
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Who is Eligible?
Your Organisation
To lead a project, you must be a UK-registered micro, small or medium-sized enterprise (SME). This competition is collaborative, so you'll need to lead a consortium of two or three organisations.
You must already have an AI or machine learning solution at Technology Readiness Level (TRL) 5 or 6, with a working minimum viable product. It can have been piloted or trialled, but it can't already be commercially deployed for the use case you're proposing. As lead, you must account for between 40% and 70% of the total eligible project costs.
Your consortium must include one deployer organisation. This is the organisation that will adopt and use your AI system. It must be a UK-registered medium or large business, or a UK-based public sector organisation, and it must operate in one of these sectors:
- Advanced manufacturing
- Clean energy industries
- Creative industries
- Defence
- Financial services
- Health and life sciences
- Professional and business services
The deployer must account for between 30% and 50% of the total eligible project costs and give you access to the users, data, systems and operational environment the project needs.
You can include one additional partner, which can account for no more than 30% of the total eligible project costs. The following can join as collaborators:
- Academic institutions
- Businesses of any size
- Charities
- Non-governmental organisations (NGOs)
- Not-for-profits
- Public sector organisations
- Research and technology organisations (RTOs)
- Research organisations
Subcontractors aren't allowed in this competition. You can only lead one application across the three BridgeAI strands, though a deployer can join up to three applications if each one covers a different use case.
Your Project
Your project must:
- Have a total grant funding request of between £100,000 and £200,000
- Last between three and five months
- Start by 1 April 2027 and end by 31 August 2027
All funded work must be carried out in the UK, and you must intend to exploit the project results from or within the UK.
Your project must also:
- Align with the Operational Systems strand, meaning the main purpose of your AI is to perform, control or coordinate operational activity within workflows, processes, software, equipment or infrastructure
- Deliver a demonstration of your solution towards the end of the project, using representative deployer data and systems in a representative operational environment
- Go beyond routine configuration, integration or implementation of an existing AI service
- Include a readiness assessment of both the AI supplier and the deployer
- Make advanced AI or machine learning capability central to the deployment
- Outline the activities you would carry out in Phase 2 to assure the AI system and prepare the operational site
- Produce a clear, evidence-based deployment use case that shows the value to the deployer
- Secure letters of support from other potential deployers who could join later phases
Innovate UK won't fund projects that:
- Focus on early-stage research or concept development
- Focus on generic productivity tools, back office automation or routine business process improvement
- Use AI in a way that's peripheral to the deployer's core operations
Make sure you apply to the right strand, because applications can't be transferred. If your AI mainly helps people make high-stakes decisions, apply to AI for Decision Critical Systems. If it mainly monitors, tests or evidences compliance, apply to AI for Assurance and Compliance Systems.
How Much Funding Can I Apply For?
The amount you can claim depends on your organisation's type and size and the sort of research your project involves.
Total grant requests range from £100k to £200k per project.
Applying as a Company
| Project Type | Micro and Small | Medium | Large |
|---|---|---|---|
| Percentage of Costs Covered* | 70% | 60% | 50% |
*This competition funds feasibility studies, which assess a project's potential by uncovering its strengths, weaknesses, opportunities and threats, along with the resources it needs and its prospects for success.
Funding Example
If you're a small business with eligible project costs of £150,000, you could receive a grant of up to £105,000. You will need to fund the remaining £45,000 from other sources, like R&D Tax Relief, investment or loans.
Applying as a Non-Commercial Organisation
Research organisations carrying out non-economic activity can share up to 30% of the total eligible project costs and are funded at higher rates:
- Up to 100% of eligible costs if you are a charity, not-for-profit, public sector organisation, research organisation, or RTO
- Up to 80% of full economic costs (FEC) if you're an academic institution, like a university
How Do I Apply?
The deadline for applications is 8 December 2026.
Applications are submitted via Innovate UK's Innovation Funding Service (IFS) portal.
The application is split into four sections:
Project Details
- Application details
- Application team
- Project summary
- Public description
- Research category
- Scope
Most answers in this section are limited to 400 words. The scope answer matters most here: if it isn't detailed enough or your project is out of scope, your application won't be sent for assessment.
Application Questions
There are 19 questions in total:
- Nine unscored questions covering topics like applicant location, animal testing, international collaboration, trusted research, your sectoral focus, and who your AI supplier and deployer are
- Ten scored questions covering market size, real-world application and benefit, innovation readiness, route to deployment, skills, deployer readiness, learning, risks, milestones and delivery
You must upload a technical architecture diagram (a PDF of up to two A4 pages) with the innovation readiness question.
Finances
Each organisation in your consortium enters its own project costs, organisation details and funding details.
Project Impact
Every partner answers a short set of unscored questions about how the project will contribute to the UK economy, society and the environment.
Your application will be reviewed by three independent assessors. Their individual scores will be combined to determine your final result.
If you're successful, you'll be notified by 1 February 2027. At the end of Phase 1, Innovate UK will review each project and decide whether to invite it to apply for Phase 2.
Like with most competitions, Innovate UK takes a 'portfolio approach' by funding projects across different technologies, markets and technological maturities. This means that a strong score won't necessarily guarantee that your application will be successful.
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