Home › Guides › Grants › Guide

💷 Guide · Grants

How AI research and startup grants work

A grant is money for a defined piece of work that you don't pay back and that doesn't cost you equity. This guide explains how AI grants work in the UK, Europe and beyond, using open calls from our listings as examples.

What is an AI grant?

A grant is non-repayable funding for a specific project, paid by a public body, a foundation or a company. In return you agree to do the work you proposed, follow the funder's terms and report on what you did. Unlike investment, a grant doesn't usually take a share of your company; unlike a loan, you don't pay it back if you meet the conditions.

Grants are usually tied to a call: a published funding opportunity with a scope, an eligibility list, a budget and a deadline. Some funders, especially philanthropic ones, also take applications on a rolling basis.

Who funds AI grants

UK research councilsUKRI funds research through universities and research organisations, e.g. UKRI: Transformative sustainable AI technologies.
Innovation funding for businessesInnovate UK funds business-led projects, e.g. BridgeAI Deployment Catalyst: AI for Decision Critical Systems.
Philanthropic fundsOften open to individuals and new projects, e.g. Transformative AI Fund, Lightcone Commons funding round and BlueDot Rapid Grants.
Small and seed grantsSmall sums to test an idea, e.g. EPSRC AI ICURe Discover Sprint (February 2027).

Who can apply?

The biggest difference between grants is who is allowed to hold the money.

  • Research organisations. UKRI research grants go to eligible research organisations such as universities, not to individuals directly. Students can't apply to UKRI for studentships themselves; they apply through the university [source].
  • Businesses. Innovate UK mostly funds business-led projects. To count as a UK registered business you need a Companies House registration number, and in collaborative projects there must be at least two grant-claiming partners, with no single partner accounting for more than 70% of eligible costs [source]. Some calls narrow this further: BridgeAI Deployment Catalyst: AI for Assurance and Compliance is for UK-registered SMEs with a UK deployer partner.
  • Anyone, anywhere (with a UK case). ARIA Robot Locomotion programme call (concept papers) is open to any type of organisation in any location, with a case for UK benefit expected.
  • Individuals. Several philanthropic funds accept individuals: Transformative AI Fund funds individuals, new organisations and new projects, and BlueDot Career Transition Grant supports people moving full-time into AI safety or biosecurity.
  • European consortia. Many Horizon Europe calls need a consortium of partners from several countries. The UK has been associated to Horizon Europe since 1 January 2024, so UK organisations can take part, and lead consortia, on broadly the same terms as EU ones, with limited exceptions such as the EIC Fund [source] [source].

How much do AI grants pay?

From a few thousand pounds to millions. Examples from open calls, as the funders state them:

Full economic cost (FEC). UK research council grants are costed at full economic cost and normally funded at 80% of it; the research organisation commits the remaining 20% from its own resources [source]. That is why UKRI calls often quote an FEC figure and a lower amount UKRI actually pays.

Your share of the costs. Many business grants pay only part of a project's eligible costs, and the rest comes from you or your partners. The share depends on the call and the type of organisation, so read each competition's funding rules.

How the process works

  1. Find a call that fits. Check the scope, eligibility, budget range and deadline. Our grants list is sorted by deadline.
  2. Check you can hold the money. Decide who the applicant is (you, your company or your university) and whether you need partners.
  3. Short first stage, if there is one. Some funders start with a concept paper or expression of interest, e.g. ARIA Robot Locomotion programme call (concept papers), or a two-stage process like Women TechEU 2 EIC.
  4. Full proposal. Usually a project plan, budget and justification of costs, team, and answers to the funder's assessment questions.
  5. Assessment. Peer review, assessors or a panel score proposals against published criteria; some calls add an interview.
  6. Award and reporting. Successful applicants sign a grant agreement, then report on progress and spending.

University applicants should involve their research office early: it usually has to approve and submit the application.

When are the deadlines?

Grant, loan, investment or prize?

TypePay it back?Give up equity?What you commit to
GrantNo, if you meet the termsNoDo the proposed work and report on it
LoanYes, usually with interestNoRepayments
Investment (equity)NoYesInvestors own part of the company
PrizeNoUsually not (some prizes are investment)Meeting the competition's rules

Other ways to fund AI work are covered in our guides hub.

How we check these listings

Every grant on advance.to links to the funder's own page and shows the date we last checked it. We quote amounts and deadlines as the funder states them and say so when something isn't published. Read more on our about page.

Open now: grants closing soonest

See all 16 open grants →

Frequently asked questions

Can individuals get AI research grants?

Yes, mainly from philanthropic funds. Transformative AI Fund and BlueDot Rapid Grants accept individuals, for example. Most UK public research grants go to organisations such as universities instead.

Do I have to pay a grant back?

Not if you do the funded work and follow the terms. Funders can ask for money back if it is spent on things the grant doesn't allow.

What does "80% FEC" mean?

UKRI research grants are costed at full economic cost (FEC) and normally funded at 80% of it. The research organisation covers the other 20% from its own resources.

Can UK organisations apply for Horizon Europe funding?

Yes. The UK has been associated to Horizon Europe since 1 January 2024, so UK organisations can take part and lead consortia on broadly the same terms as EU ones, with limited exceptions such as the EIC Fund.

Can a startup combine grants with investment?

Often, yes, but each grant has its own rules on other public funding and on how your share of the costs is covered. Check the competition's funding rules before you apply.

How long do grant decisions take?

It varies by funder, from weeks for some rolling philanthropic grants to several months for large public calls. Most calls publish an expected decision date or project start date.

Are grants taxable?

It depends on who receives the grant and what it pays for. Ask an accountant how a specific grant will be treated.

Where can I find AI grants that are open now?

Our grants list shows every open AI grant we track, sorted by deadline, and our weekly email lists anything closing in the next 14 days.

Sources

Programme details are quoted from the organisers' pages on the dates shown. advance.to isn't affiliated with any organiser.

  1. UKRI: Principles of full economic costing (FEC)
  2. UKRI: What costs are eligible for UKRI funding
  3. Innovate UK: Funding rules
  4. European Commission: International cooperation with the United Kingdom (Horizon Europe association)
  5. GOV.UK: UK association to Horizon Europe and Copernicus, explainer
  6. UK Research and Innovation: UKRI: Transformative sustainable AI technologies (checked 2026-10-31)
  7. Innovate UK BridgeAI (IUK Business Connect): BridgeAI Deployment Catalyst: AI for Decision Critical Systems (checked 2026-11-01)
  8. ARIA (Advanced Research + Invention Agency): ARIA Safeguarded AI: Cybersecurity (Track 1) rolling funding (checked 2026-11-01)
  9. ARIA (Advanced Research + Invention Agency): ARIA Robot Locomotion programme call (concept papers) (checked 2026-11-01)
  10. European Commission (Horizon Europe): Horizon Europe: EU Frontier AI Initiative (HORIZON-CL4-2027-04-DIGITAL-EMERGING-11) (checked 2026-11-01)
  11. EIT AI & Robotics Community: EIT AI & Robotics Factory X (checked 2026-11-01)
  12. Women TechEU (European Innovation Council): Women TechEU 2 EIC (checked 2026-11-01)
  13. EA Funds: Transformative AI Fund (checked 2026-10-31)
  14. Lightcone Infrastructure: Lightcone Commons funding round (checked 2026-10-31)
  15. BlueDot Impact: BlueDot Rapid Grants (checked 2026-10-31)
  16. Innovate UK Business Connect / EPSRC: EPSRC AI ICURe Discover Sprint (February 2027) (checked 2026-11-01)
  17. Innovate UK BridgeAI (IUK Business Connect): BridgeAI Deployment Catalyst: AI for Assurance and Compliance (checked 2026-11-01)
  18. BlueDot Impact: BlueDot Career Transition Grant (checked 2026-10-31)

About the author

Sam is an editor at advance.to who tracks and verifies AI funding opportunities: fellowships, grants, compute credits, accelerators and competitions. How we verify listings.

Closing soon, every Monday.

One short email with the AI deadlines that close in the next 14 days.