Funding to help SMEs boost sustainability and efficiency
Small and medium-sized manufacturers can apply for funding to develop digital technologies that cut waste, reduce energy use, and improve productivity.
SME resource and energy efficiency competitions
Small and medium-sized manufacturers can apply for funding to develop digital technologies that cut waste, reduce energy use, and improve productivity.
The Made Smarter Innovation (MSI) resource and energy efficiency competitions are now open, offering a share of up to £15.5 million to help SMEs take the next step in digital transformation.
The competitions are part of the MSI Challenge, delivered by Innovate UK, to support projects that make manufacturing more sustainable, resilient, and efficient through new industrial digital technologies.
Why apply
This is a major opportunity for SMEs to:
- accelerate digital transformation and strengthen competitiveness
- improve energy and resource efficiency across operations
- collaborate with other innovators, manufacturers, and researchers
- turn great ideas into practical, commercially viable solutions
Funding is available across two strands:
- feasibility studies - offering £25,000 to £150,000 per project
- industrial research - offering £200,000 to £1 million per project
Micro and small businesses can receive up to 70% of eligible costs, and medium-sized companies up to 60%.
Who can apply
UK-registered micro, small, or medium-sized enterprises can apply as:
- technology developers creating digital solutions that improve energy or resource efficiency in manufacturing
- manufacturers working with technology developers on joint projects
For feasibility studies, technology developers can apply independently. For industrial research projects, they must collaborate with at least two manufacturers. Partnerships may also include academic or research organisations.
The deadline for applications is 11am on Wednesday 10 December 2025.
Get support
If you need help preparing your application, you can join one of the free online drop-in sessions hosted by Innovate UK and Innovate UK Business Connect.
Upcoming sessions:
- 14 November 2025, 1pm to 2pm
- 24 November 2025, midday to 1pm
- 4 December 2025, 2pm to 3pm
You can also watch the competition briefing webinar for more information.
First published 13 November 2025