Overview

The Automotive Transformation Fund is a new programme that aims to establish a competitive and sustainable UK supply chain.

It offers a share of up to £1 billion of funding for industrial research and capital projects. This will be to support the industrialisation of a high-value, electrified automotive supply at scale in the UK.

This is an expression of interest (EoI) competition. If your application is successful you will be invited to apply to one of the full stage competition strands:

  1. Research and development (R&D).
  2. Capital investment.

If your project includes both R&D and capital investment you will have to apply for both full stage competitions.

Scope

Your project must have a potential automotive application.

Your proposal must prioritise the scale up in areas mentioned in the Automotive Transformation Strategy.

Your project can focus on one or more of the following:

Batteries

  • cathode materials and manufacturing
  • anode materials and manufacturing
  • electrolyte
  • cell assembly components (including separators)
  • cell or module assembly
  • cell testing
  • battery pack components
  • battery pack assembly and test

Motors and drives

  • magnet materials and manufacturing
  • electrical steel materials and manufacturing
  • electrical machine assembly
  • drive line components
  • assembly and test into complete drive unit

Power electronics

  • wide band gap semi-conductors
  • sensors
  • passives
  • power electronics assembly

Fuel cell

  • MEA
  • catalysts
  • bipolar plates
  • gas diffusion layer
  • air handling systems
  • balance of power
  • fuel cell stack assembly
  • storage tanks
  • fuel delivery (where specifically required for development purposes)

Recycling

  • e-motors
  • batteries
  • fuel cells
  • power electronics

Only projects which score well against the following criteria will receive funding from the Automotive Transformation Fund:

  • fit with the Automotive Transformation Fund
  • value for money for the UK
  • ongoing benefit to the UK from the exploitation of your project
  • project deliverables such as time, cost and quality (including risks)

Exclusions

This competition is not funding R&D that involves:

  • product and/or process development which is at prototype or early proof of concept stage
  • low-carbon fuels development.

This competition is not funding capital investments that:

  • include investment in final electric vehicle assembly at original equipment manufacturers (OEM)
  • are related to charging infrastructure
  • supports retail and wholesale fuel supply (except where used for own development purposes)

Eligibility

To lead a project or work alone your organisation must:

  • be a UK registered business of any size
  • carry out its project work in the UK
  • exploit the results from or in the UK
  • address the requirements of the Automotive Transformation Fund

To collaborate with the lead organisation your organisation must:

  • be a UK registered business, academic institution, charity, public sector organisation or RTO
  • carry out its project work in the UK
  • intend to exploit the results from or in the UK
  • be invited to take part by the lead applicant

There are no restrictions on the number of applications a business or RTO can submit.

Funding Costs

UK registered businesses can apply for a share of up to £1 billion to fund innovation projects in this competition.

For industry led research projects, your total grant funding must not exceed 50% of your total eligible project costs. This is regardless of the individual partners’ grant claims. Of that 50%, you could get funding for your eligible project costs of up to:

  • 70% of your eligible project costs if you are a micro or small organisation
  • 60% of your eligible project costs if you are a medium-sized organisation
  • 50% of your eligible project costs if you are a large organisation

The research organisations undertaking non-economic activity as part of the project can share up to 30% of the total eligible project costs. If your consortium contains more than one research organisation undertaking non-economic activity, this maximum is shared between them.

Of that 30%, research organisations in the consortium could get funding for their eligible project costs of up to:

  • 80% of full economic costs (FEC) if they are an academic institution
  • 100% of their eligible project costs if they are an RTO

If your consortium contains more than one research organisation undertaking non-economic activity, this maximum is shared between them.

Capital projects will be managed through the Automotive Transformation Fund capex team and BEIS.

For capital projects the grant available is dependent on the proposed project and will be determined during the second stage of the application process. The grant requested should be the minimum required to ensure sustainability of the investment.

Further information on the process will be provided at the full stage.

 

Interested in applying for this competition?

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