Innovate UK is running a pilot programme of loan competitions over 3 years to the end of 2020. A total of up to £50 million has been committed in 5 initial competitions and an extension of the pilot will make a further £25 million available for business innovation projects in 2 further competitions.
We are working to broaden the range of innovation finance support available to businesses, so they can access funding at all stages of innovation. Innovations need different types of funding support depending on how close they are to market. The lack of funding available to innovative businesses at the right time is a barrier to their productivity and growth.
Innovation loans are, we believe, most useful for innovations near to market, whereas grants are more suitable for earlier stage, riskier innovations.