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Introduction
According to the International Innovation Barometer 2026 published by the Ayming Institute, which examines the views of innovation leaders across 17 countries and six sectors, 96% of businesses questioned now report having a dedicated innovation team, which is up from 78% last year. This increase has spanned across businesses of all sizes, with only 1% of large firms and 7% of SMEs now lacking a dedicated team.
In terms of sources of funding for the international innovation in 2026, the most popular methods are as follows:
i) Self Funding – 48%
ii) Equity Funding – 40%
ii) Innovation Grants – 38%
iii) R&D Tax Credits – 32%
Looking at future innovation activity, 82% of businesses cite looking for grant opportunities as part of their plan, with 68% looking at national grants and there has been an increase in businesses looking for international grants, at 44% (up from 39% last year).
What are the most popular locations internationally for a business to carry out R&D activity?:
In 2025, businesses selecting locations for doing R&D activity chose the UK as the third most popular international destination for innovation outside of their home country.
i) Own Country – 50%
ii) United States – 30%
iii) Germany – 25%
iv) United Kingdom – 18%
v) France – 17%
vi) China – 13%
Businesses can regularly check Government funding providers such as Innovate UK and other funding providers that fall under the UK Research and Innovation network to see if grants are available that align with specific research and development goals for their projects. There are also innovation grants available on a local level, typically issued by local authorities, business enterprise support agencies and universities. For international grants, businesses can explore funding available from the European Commission as part of the Horizon Programme.
What Are Some Of The Latest UK Innovation For Business Grants Funding Opportunities Available?
i) NBIC Edinburgh Innovation Vouchers 2026
National Biofilms Innovation Centre and the University of Edinburgh is running a voucher scheme that aims to foster connections between NBIC academic research partners and regional companies by subsidising the costs of collaborative projects which make use of the partner universities’ facilities and researchers. Funding up to £10,000 is available
Application Deadline: Ongoing
ii) Research and Development Grant (October 2026)
Carmarthenshire County Council is running a scheme that aims to strengthen R&D and innovation in the local entrepreneurial ecosystems and support businesses at early stages of development of innovative products, processes and/or services. Funding up to £50,000 is available.
Application Deadline: 31st October 2026
iii) Boosting Creative Startups for Disruptive Innovation
The European Commission under the Horizon Europe programme is running funding for European-wide projects to contribute to outcomes including, but not limited to, deepened knowledge of specific factors favouring the growth of creative startups, in particular those with potential for disruptive innovation and/or cross-sectorial innovation impacts. Funding up to £6 million is available for European-wide consortia that can include UK commercial participants.
Application Deadline: 23rd September 2026
iv) Battery Innovation Programme: Battery Skills Initiatives
Innovate UK is providing a scheme for businesses in the electronics sector to apply for funding to establish or scale regional skills initiatives for battery manufacturing and its supply chain. Funding up to £1.2 million is available.
Application Deadline: 18th June 2026
v) Defra Farming Innovation Investor Partnership
The Department for Environment Food and Rural Affairs is running a scheme for businesses to apply for funding to develop innovative farming solutions. This must align with private investment from selected investor partners. Projects can include supporting UK farming reaching net zero emissions by 2050 or supporting the commercialisation of late stage experimental development projects that can be adopted by farmers to boost innovation. Funding up to £1.35 million is available.
Application Deadline: 17th June 2026
vi) Growth Cohorts: Next Generation Low Carbon Concrete Cohort Entry
Innovate UK is running a competition that aims to recruit ambitious businesses to join a Growth Cohort. The Growth Cohort will fund and support businesses to accelerate their ambitions to decarbonise concrete. Funding up to £50,000 is available.
Application Deadline: 8th July 2026
vii) Commercialising Knowledge Assets Fund (CKAF) Autumn
The Government Office for Technology Transfer and the Department for Science, Innovation and Technology is running a competition that aims to support organisations to move viable public sector Knowledge Assets with identified potential markets towards commercialisation. Funding up to £250,000 is available.
Application Deadline: 1st September 2026
viii) Simed 2026 – IV Open Call for Startups
Simed – The 22nd Mediterranean Real Estate Exhibition is providing an open call for international start-ups to present their projects and initiatives in the field of PropTech, ConTech and FinTech to the investment ecosystem, experts and heads of innovation areas in the local real estate sector. Funding up to £2,000 is available.
Application Deadline: 31st August 2026
How To Apply For Innovation For Business Funding Schemes
Full details about how to apply for schemes and the eligibility criteria is available on each individual scheme page on the relevant website. Any deadlines, who can apply and what eligible costs the grants will cover will also be outlined on these pages. Interested individuals and businesses can speak to innovation advisors based at each provider who can guide them through requirements and eligibility criteria to see if the relevant funding is a match with their needs and help them to apply. There are also application forms and other supporting guidance available on scheme pages as well.