UK AI Funding Guide 2026
Made Smarter, R&D Tax Credits, and Kent-specific funding opportunities.
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Made Smarter
Government-backed programme helping manufacturers adopt digital technology. Matched funding means you invest £10K, they match £10K. The South East region (including Kent) is now included.
Eligibility
UK manufacturers with 10-249 employees
How to Apply
Free Diagnostic
Book a free digital diagnostic with a Made Smarter advisor. They assess your current state and opportunities.
Business Case Development
Work with advisor to develop your technology adoption business case and ROI projections.
Application Submission
Submit your formal application with supporting documents and project plan.
Approval & Implementation
Receive funding approval and begin your digital transformation project.
R&D Tax Credits
Claim back a percentage of your R&D spending. AI development, custom software, automation systems, and process innovation often qualify if you're solving technical uncertainty.
Eligibility
UK companies spending on innovation
How to Apply
Identify Qualifying Projects
Review your projects for "technical uncertainty" and "seeking advance in science/technology".
Document Everything
Keep records of staff time, project costs, and technical narratives explaining the challenge.
Advance Notification
New requirement: Notify HMRC of R&D claims in advance via their digital form.
Submit Claim
Include with your Corporation Tax return or submit separately for losses.
Innovate UK Smart Grants
For genuinely innovative projects that could be game-changing. Competitive (15% success rate) but significant funding. Focus on genuine innovation, not just implementation.
Eligibility
Game-changing innovations with commercial potential
How to Apply
Innovation Assessment
Ensure your project represents a genuine advancement, not just applying existing tech.
Application Development
Write a compelling application covering innovation, market need, team capability, and commercialisation.
Review Process
Applications reviewed by independent assessors. Expect detailed feedback.
Contract Negotiation
If successful, negotiate terms and milestones with Innovate UK.
Kent & Medway Business Fund
Interest-free loans specifically for Kent businesses. Can be combined with other funding sources for maximum impact.
Eligibility
Kent-based SMEs
How to Apply
Initial Enquiry
Contact the fund to discuss your project and confirm eligibility.
Business Plan
Prepare detailed business plan with financial projections and use of funds.
Due Diligence
Fund conducts due diligence on your business and proposal.
Investment Committee
Proposal reviewed by investment committee for final decision.
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