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DRIVE35 Innovation Fund: Collaborate 3

Opens:
26.06.2026
Closes:
16.09.2026
Sectors:
Automotive & Transport
Manufacturing & Materials
Project Size:
between £2.5 and £20 million

The DRIVE35 Innovation Fund: Collaborate 3 is a flagship collaborative R&D programme delivered through DRIVE35 (Driving Research and Investment in Vehicle Electrification). Led by the Department for Business and Trade (DBT) and delivered in partnership with Innovate UK and the Advanced Propulsion Centre UK (APC), the programme provides up to £20 million to accelerate the development and commercialisation of advanced zero emission vehicle technologies.

The competition supports late-stage collaborative research and development projects that design, develop, validate, and manufacture strategically important automotive technologies. Projects should strengthen the UK's automotive supply chain, increase manufacturing competitiveness, and create a clear pathway to commercial deployment.

Key Dates and Funding

Competition Opens: 26 June 2026

Competition Closes: 16 September 2026

Funding Available: Grant funding between £2.5 million and £20 million per project

Technology Themes

Projects must address one or more of three strategic themes.

1. Zero Emission Vehicle Technologies

Projects may focus on technologies including:

  • Batteries and electrical energy storage systems
  • Electric motors and drivetrains
  • Power electronics and Vehicle-to-Everything (V2X)
  • Fuel cell systems
  • Hydrogen storage and management
  • Lightweight vehicle structures
  • Circular manufacturing and design for disassembly
  • Digital engineering, validation, and verification

 

2. Advanced Manufacturing Competitiveness

Projects can develop manufacturing innovations that improve productivity, efficiency, sustainability, and competitiveness through:

  • Digital manufacturing and Industry 4.0
  • Artificial Intelligence and Digital Twins
  • Lean manufacturing and advanced automation
  • Manufacturing decarbonisation
  • Supply chain capability development
  • Flexible production systems

 

3. Software Defined Vehicles (SDV)

Projects may also target next-generation vehicle software and electronics, including:

  • Software-defined vehicle platforms
  • Electrical and electronic (E/E) architectures
  • Embedded software and connectivity
  • AI-enabled automotive software
  • High-performance vehicle computing
  • Vehicle simulation and digital twin technologies
  • Advanced control systems
  • Software development and validation tools

Who Can Apply

The competition is open to UK registered businesses of any size leading collaborative projects.

Eligible consortia must:

  • Include at least one UK SME claiming grant funding.
  • Include a vehicle manufacturer or Tier 1 supplier supplying directly to an OEM.
  • Include at least one additional UK partner.
  • Demonstrate a clear rationale for collaboration.

Partners may include businesses, universities, research organisations, charities, RTOs, and public sector organisations.

 

Project Requirements

Projects should:

  • Be late-stage collaborative R&D projects targeting commercialisation.
  • Demonstrate a clear route to market following project completion.
  • Strengthen UK manufacturing capability and supply chains.
  • Increase productivity, competitiveness, and sustainability.
  • Support long-term investment in UK automotive innovation.
  • Create and safeguard skilled employment.
  • Deliver technologies that contribute to the UK's net zero ambitions.

Applicants must provide a minimum of 50% match funding, ensuring strong commercial commitment alongside public investment.

 

Why This Competition Matters

The automotive industry is undergoing one of its most significant transformations, driven by electrification, digitalisation, advanced manufacturing, and software-defined vehicles. The DRIVE35 Innovation Fund helps ensure that UK businesses remain globally competitive by accelerating the development and manufacture of technologies that will power the next generation of zero emission vehicles.

By supporting collaborative innovation across industry and academia, the programme strengthens domestic supply chains, attracts investment, and positions the UK as a global leader in sustainable automotive manufacturing.

 

How Inventya Can Help

Collaborative automotive programmes such as DRIVE35 require strong technical proposals, robust commercial strategies, and well-structured industry partnerships. At Inventya, we support organisations throughout the entire funding journey, helping transform innovative concepts into competitive funding applications.

Our support includes:

  • Eligibility and Project Scoping – Assessing alignment with DRIVE35 priorities and identifying the strongest innovation opportunity.
  • Consortium Development – Bringing together manufacturers, Tier 1 suppliers, SMEs, universities, and research organisations to build competitive collaborations.
  • Proposal Development – Producing compelling technical, commercial, and impact narratives aligned with Innovate UK and APC assessment criteria.
  • Commercialisation Strategy – Developing clear routes to market, investment plans, manufacturing roadmaps, and long-term exploitation strategies.
  • Project Planning and Financial Structuring – Preparing work packages, milestones, budgets, risk management plans, and ensuring compliance with match funding requirements.  
  • Application Review and Submission Support – Refining proposals to maximise competitiveness before submission.

With extensive experience supporting automotive, advanced manufacturing, clean mobility, and Innovate UK funding programmes, Inventya helps organisations secure investment, build strategic partnerships, and accelerate the commercial deployment of transformative vehicle technologies

Our experts can assess your eligibility in minutes — book your free consultation today!
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