Unleashing Yorkshire’s potential: Navigating the 2025 Grant Funding Landscape
By Sarah Goodman, director and Oliver Craig, consultant, Global Investment and Innovations Incentives team, Deloitte
Yorkshire’s story of industry and innovation is poised for an exciting new chapter. The government’s “Invest 2035” industrial strategy recognises the region’s potential and highlights how Yorkshire’s key sectors – from clean energy to advanced manufacturing – are crucial to the UK’s economic future. But realising this potential requires investment. That’s where grant funding comes in, providing additional financial support for businesses driving innovation, growth, and the UK’s transition to a greener future.
So, what is available for companies in Yorkshire and the Humber?
The landscape is evolving. While the government is currently refining its funding strategy, several key opportunities are already emerging. Yorkshire, with its commitment to clean energy, is well-positioned to benefit from grants focused on decarbonisation. This is particularly relevant to the manufacturing sector, with new capital grant opportunities expected to emerge, building on the success of the Industrial Energy Transformation Fund. Similarly, the region’s automotive sector, a significant contributor to the economy, can anticipate continued support for developing and implementing green technologies. This includes funding for battery technologies, power electronics, and initiatives focused on strengthening the electric vehicle supply chain.
Beyond decarbonisation, sector-specific opportunities are abundant. There’s a thriving life sciences sector in Yorkshire, and funding opportunities are plentiful. The Biomedical Catalyst, for example, offers crucial support for SMEs developing innovative health and care solutions, including therapeutics, medical devices, and digital health technologies. Additionally, the Life Sciences Innovative Manufacturing Fund provides substantial funding for expanding and upgrading manufacturing capabilities, bolstering the region’s position as a leader in this vital sector.
Yorkshire’s aerospace industry is also set to benefit from significant investment through the Aerospace Technology Institute. With over £1bn in funding available, the program focuses on projects related to zero-carbon emission aircraft, ultra-efficient technologies, and cross-cutting enabling technologies. Both large and small businesses can access this funding, with tailored programs designed to support their specific needs.
While navigating the UK’s national funding landscape is essential, Yorkshire businesses should also look beyond borders. Horizon Europe, the European Union’s most extensive R&D funding program, offers a wealth of opportunities for collaboration and innovation with European partners. With a budget of €96 billion, it represents a significant source of potential investment for ambitious Yorkshire businesses.
Securing grant funding, however, requires careful planning and a strategic approach. Businesses often face complex application processes and fierce competition. Seeking external advice can be invaluable in identifying suitable funding opportunities, crafting compelling proposals that clearly articulate a project’s impact and alignment with funding objectives, and ultimately, maximising the chances of success.
The 2025 grant funding landscape presents a significant opportunity for businesses in Yorkshire and the Humber. By understanding the available funding streams, strategically aligning their projects, and seeking expert guidance, businesses can unlock their potential, drive innovation, and contribute to a more sustainable and even more prosperous future for the region.
