Investor Partnerships: unlocking deep-tech potential with aligned R&D grants and investment
Investor Partnerships are a powerful support mechanism for deep-tech SMEs. By combining Innovate UK’s R&D grant funding with private investment, they help early-stage ventures secure the resources and commercial insight needed to accelerate breakthrough technologies.
Investor Partnerships are a powerful support mechanism for deep-tech SMEs. By combining Innovate UK’s R&D grant funding with private investment, they help early-stage ventures secure the resources and commercial insight needed to accelerate breakthrough technologies.
This joint model de-risks innovation for both investors and government funders – supporting SMEs from proof of concept through to commercialisation.
If you’re considering applying for an Investor Partnerships opportunity, this article explores how the scheme works and why it’s worth your attention.
What are Investor Partnerships?
Investor Partnerships are designed to help deep-tech start-ups, spin-outs and SMEs access both:
- R&D funding via an Innovate UK grant, and
- Aligned private investment from an approved investor partner.
This dual funding model gives companies the best of both worlds: financial support for R&D activity, plus commercial backing to scale the innovation beyond the lab.
Successful applicants typically secure a grant for pre-commercial research and development, alongside investment that supports commercialisation efforts. This can include market access, hiring, IP strategy and go-to-market planning – areas often outside the scope of standard innovation grants.
While the scheme doesn’t fund collaborative R&D, you can still engage subcontractors (ideally UK-based) to deliver technical components of your project. The involvement of an investor partner also enables you to tap into wider networks and business expertise critical for success.
Match funding expectations
Grant funding is awarded at the usual Innovate UK rates, depending on your company size and project stage. The investor contribution is typically expected to match—or exceed—the grant value, often by 1-2x, ensuring projects are well-resourced to deliver impact beyond the R&D phase.
How the process works
A key eligibility requirement is having an investor partner in place before submitting your application. The lead investor must be listed as an Innovate UK-approved investor. You can combine additional co-investors as part of the total funding package.
Your investor must provide an 'Expression of Interest' letter as part of the application.
The application journey
- Develop your proposal – Your application should outline both the R&D work and plans for commercial scale-up.
- Submit for Innovate UK review – Proposals are assessed by up to five independent experts.
- Investor panel assessment – The top-scoring applications go through a second round of review by the investor panel for final selection.
Once approved, term sheets are finalised (but not signed at application stage to preserve eligibility). Project setup then follows Innovate UK’s standard process, with both the grant and investment elements kicking off in tandem.
Learn more about navigating the project setup phase.
Current opportunities open for application
Two Investor Partnership competitions are now live, both closing on 2nd July 2025:
1. Clean Energy and Climate Technologies
Supports MVP development and prototyping of innovations across:
- Renewable heat and power
- Sustainable transport
- Circular manufacturing
- Low-carbon agriculture and food production
2. Defra Farming Innovation Investor Partnership
Targets late-stage agri-tech solutions that drive:
- Productivity and profitability
- Sustainability and climate resilience
- Focus areas: livestock, plant health, novel food systems, bioeconomy and agroforestry.
More funding rounds are expected this autumn. In the meantime, you can browse live UK and European grants using our Grant Finder Tool – updated weekly.
How Kene helps deep-tech innovators succeed
We specialise in helping ambitious, early-stage businesses secure critical R&D funding to commercialise innovation. Our expert Grants team supports you through the entire Investor Partnerships journey, including:
- Navigating term sheet requirements and Innovate UK compliance
- Writing a compelling R&D grant application
- Supporting claim management and reporting to ensure full drawdown
Whether you’re pioneering climate tech, agri-innovation or another deep-tech solution, we’re here to help you access the capital and connections to grow.
Book a free consultation to explore your eligibility and get started.
Can we help your business?
Book a free consultation with our expert R&D funding advisors today. We specialise in helping innovative businesses like yours unlock millions in government funding, specifically allocated to fuel your innovation. Let us help your business access the support it deserves.
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