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Government funding available for fresh thinking in freight
Up to £150k and specialist business support is available to innovators with ideas to solve some of the freight sector’s most pressing challenges.
08.05.25, LONDON, Connected Places Catapult, the UK’s innovation accelerator for transport, the built environment, cities and local growth, announced today that applications are open for the fourth cohort of the Freight Innovation Fund Accelerator.
The accelerator is funded by the Department for Transport (DfT) and delivered by Connected Places Catapult. It forms part of the wider Freight Innovation Fund programme, which has been extended to April 2026 following the success of the first three years, with an additional £3.5m of funding from the DfT.
The accelerator is looking for innovators with solutions that can address one of four challenge areas:
- Challenge 1: Planet-focused Freight
Innovations and interventions targeting decarbonisation in the inter-modal freight sector. - Challenge 2: Circular Design
Solutions and services adopting circular design principles to allow the freight sector to reuse, retrofit, recycle and upcycle vehicles, machines, technologies and waste. - Challenge 3: Freight Optimisation & Efficiency
Next generation technologies to make inter-modal logistics and freight less wasteful, more efficient and collaborative. - Challenge 4: People in Freight
Innovations, training and services that shape healthy, diverse, inclusive and safe workplaces and communities.
Initially, up to 15 SMEs will be selected to receive £20,000 each to develop a detailed trial proposal. Up to 10 of those will then progress to the next stage, where they will each receive up to £130,000 to deliver their trial via a pre-commercial Pilot and Trial contract. SMEs will be required to match-fund 30% of the total project cost.
To secure access to appropriate testbed facilities, SMEs applying to the programme have the option of applying with an existing industry partner or selecting to be matched with an industry partner.
The industry partners supporting the accelerator programme include: DFDS, DHL, Port of Tyne, Portsmouth International Port, Welch Group, Wincanton, and Veterans into Logistics.
Alongside funding, SMEs will also benefit from trial and business support tailored to their needs. This will include trial design training, monitoring and evaluation, investment readiness, pitch coaching, marketing support, and business modelling.
Speaking on a visit to Gaussion - a previous accelerator participant - Future of Roads Minister, Lilian Greenwood, said:
“It was a pleasure to visit Gaussion today, and see first-hand the cutting-edge technology being developed with support from our Freight Innovation Fund.
“This £3.5 million investment demonstrates our commitment to backing UK business, driving forward freight innovation, and boosting economic growth to drive up living standards in line with our Plan for Change.”
“The freight sector plays a significant role in the UK's economy. By supporting innovators to trial new ideas we can boost investment and accelerate growth in this important sector.
“This is the fourth round of the Freight Innovation Fund Accelerator, and builds on a successful legacy: the first three cohorts have so far leveraged £103 million of new investment. I’m excited to see what technologies and solutions are offered by innovators this time around and encourage anyone with an idea that could address the challenges listed to get involved.”Erika Lewis, Chief Executive Officer at Connected Places Catapult
Prospective applicants have until Monday 9 June to apply.
