Innovate UK has opened an £8 million competition for UK SMEs ready to take engineering biology products and services to market, with every grant matched by private investment from an approved investor.
Engineering Biology Investor Partnerships Round 1 is part of UKRI's Engineering Biology Programme, and it's built for companies that are close to commercialisation rather than still proving the science. The grant only comes with investment attached. You'll need a lead investor from Innovate UK's investor pool to put in at least twice what you're asking for, so treat this as a fundraise and a grant application at the same time.
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, how the investor partnership works, and what the application process looks like.
Find Out if You're Eligible Now
To find out if you and your project are suitable for this grant, book in a free Competitiveness and Eligibility Assessment. In just 25 minutes, I'll tell you:
- Whether you're a strong candidate for this competition
- Other grants you may be eligible for
- What other sources of funding we can help you secure
Never Miss a Funding Opportunity
New grant competitions are opening all the time. Make sure you don’t miss out by subscribing to GrantTree’s newsletter.
Who is Eligible?
Your Organisation
To apply, you must be a UK registered micro, small or medium-sized enterprise (SME). This competition is for single applicants only, so you can't apply as part of a consortium. You can use subcontractors, and they can be based anywhere in the UK.
You can only submit one application into this round, and you must be able to complete the aligned investment by issuing new shares or convertible debt.
Your Project
Your project must:
- Have a total grant request of between £250,000 and £2 million
- Last 24 months
- Start on the first of a month, no later than 1 December 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:
- Address one or more of the competition themes: agriculture and food, chemicals and materials, cross cutting technology and service development, health, low carbon fuels, and waste and environment
- Be experimental development that is close to market
- Draw its primary innovation and competitive advantage from engineering biology, backed by evidence like patents, proprietary strains, engineered cell lines or protected know-how
- Form part of your company's growth plan, with a clear route to market
- Have aligned investment of at least twice the grant from a lead investor in Innovate UK's investor pool
- Show significant market impact, scalability and appeal to equity investors
Work on validation, manufacturing or regulatory progression can be included, as long as it's directly enabled by your engineering biology innovation.
Innovate UK won't fund projects that:
- Are fundamental research
- Aren't focused on engineering biology
- Cover the clinical development of a biologic, vaccine or engineering biology derived small molecule
- Involve clinical trials or the preclinical evaluation of therapeutics
- Involve large capital infrastructure
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.
Individual grants range from £250,000 to £2 million.
Applying as a Company
| Project Type | Micro and Small | Medium |
|---|---|---|
| Percentage of Costs Covered* | 45% | 35% |
*Experimental development is closer to market. It involves using existing knowledge to develop or improve products, processes, or services.
Funding Example
If you're a small company with eligible project costs of £1 million, you can claim up to £450,000. You will need to fund the remaining £550,000 from other sources, like R&D Tax Relief, investment or loans.
Aligned Private Investment
Your grant has to be matched by private investment worth at least twice the amount you're claiming. On a £450,000 grant, that means raising at least £900,000.
The investment must:
- Be agreed with a lead investor from Innovate UK's investor pool, who can bring in other investors from inside or outside the pool
- Be negotiated on commercial terms between you and the investor, not Innovate UK
- Reach heads of terms by 29 July 2027
- Take the form of direct equity or a convertible loan
Unlike the grant, the investment can be used across your wider business, including on costs Innovate UK won't normally cover. You can apply before you've spoken to an investor, but Innovate UK strongly encourages you to start those conversations early.
Timing matters here. Innovate UK can turn down a strong application if the investment has already been secured, if it would have happened anyway without the grant, or if your lead investor isn't taking a significant role in the deal.
Applying as a Non-Commercial Organisation
This competition is only open to SMEs, so universities, research and technology organisations (RTOs) and other non-commercial organisations can't apply. They can still support your project as subcontractors.
How Do I Apply?
The deadline for applications is 2 December 2026.
Applications are submitted via Innovate UK's Innovation Funding Service (IFS) portal.
The application is split into four sections:
Project Details
This section is not scored. You will cover:
- Application details, including the title, start date and duration
- Application team
- Project summary
- Public description
- Research category
- Scope, including how your project fits the competition's definition of engineering biology
Most answers in this section are limited to 400 words.
Application Questions
There are 17 questions in total:
- Seven unscored administrative questions covering topics like animal testing, international collaboration and trusted research
- Ten scored questions covering your need, approach, team, market awareness, route to market, wider impacts, project management, risks, added value and investment, and value for money
You can include appendices (PDFs of up to two A4 pages) for the approach and team questions, and you must submit a project plan, a risk register and a one-page investment profile. Innovate UK shares that investment profile with every investor in the pool, so write it with them in mind.
Finances
You complete your own project costs, organisation details and funding details, and you'll need to pass a financial viability check after you apply.
Project Impact
This section is not scored, but you have to complete it before you can submit.
Your application will be reviewed by three independent assessors. Their individual scores will be combined to determine your final result.
You'll find out if your project is eligible for grant funding by 15 January 2027. You then have until 29 July 2027 to agree heads of terms with your lead investor, and you'll be notified of the final outcome by 17 August 2027.
Innovate UK will favour applications with a higher ratio of investment to grant, and those where the investment looks likely to complete in a reasonable time.
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.
Maximise Your Chances of Securing Funding
GrantTree has 15 years of experience helping startups, scaleups and established businesses secure over £500 million in innovation funding.
We offer Full Service Write, Grant Review and Grant Matching, plus our bespoke Elevate package, which combines writing, review, coaching and matching to maximise your chances of success.
We work closely with active grant assessors to understand exactly what it takes to prepare a compelling application.
To find out how we can help, just get in touch.
