Innovation in Professional & Financial Services R2 Single
UK registered businesses can apply for a share of up to £5 million for projects that develop new products and services within Professional and Financial Services.
- Competition opens: Tuesday 1 August 2023
- Competition closes: Wednesday 27 September 2023 5:00pm
This competition is now closed.
Competition sections
Description
Innovate UK, part of UK Research and Innovation, will invest up to £5 million in innovation projects. The aim of this will be to advance the Professional and Financial Services sectors by supporting them in the creation and adoption of digital approaches and new digitally supported services.
This competition is split into 2 strands:
- Innovation in Professional and Financial Services – single applicants (this strand)
- Innovation in Professional and Financial Services – collaboration
Your proposal must show how you will help these sectors:
- to deliver better products and services
- increase access to these services
- make these services more effective for their customers
It is your responsibility to ensure you submit your application to the correct strand for your project. You will not be able to transfer your application and it will not be sent for assessment if it is out of scope.
In applying to this competition, you are entering into a competitive process.
This competition closes at 11am UK time on the deadline stated.Funding type
Grant
Project size
Your project’s total grant funding request must be between £50,000 and £200,000.
Who can apply
Your project
Your project must:
- have total grant funding request between £50,000 and £200,000
- start by 1 April 2024
- last between 6 and 18 months
- carry out all of its project work in the UK
- intend to exploit the results from or in the UK
You must only include eligible project costs in your application.
Under current restrictions, this competition will not fund any procurement, commercial, business development or supply chain activity with any Russian and Belarusian entity as lead, partner or subcontractor. This includes any goods or services originating from a Russian and Belarusian source.
If your project’s grant funding request or duration falls outside of our eligibility criteria, you must provide justification by email to support@iuk.ukri.org at least 10 working days before the competition closes. We will decide whether to approve your request.
If you have not requested approval or your application has not been approved by us, you will be made ineligible. Your application will then not be sent for assessment.
Lead organisation
To lead a project your organisation must be a micro, small or medium-sized enterprise (SME)
More information on the different types of organisation can be found in our Funding rules.
Academic institutions and research and technology organisations (RTO) cannot lead or work alone.
Subcontractors
Subcontractors are allowed in this competition.
Subcontractors can be from anywhere in the UK and you must select them through your usual procurement process.
You can use subcontractors from overseas but must make the case in your application as to why you could not use suppliers from the UK.
You must provide a detailed rationale, evidence of the potential UK contractors you approached and the reasons why they were unable to work with you. We will not accept a cheaper cost as a sufficient reason to use an overseas subcontractor.
All subcontractor costs must be justified and appropriate to the total project costs.
Number of applications
A business can apply as the lead for multiple applications across the 2 strands of the competition, but only one successful project will be funded.
Previous applications
You can use a previously submitted application to apply for this competition.
We will not award you funding if you have:
- failed to exploit a previously funded project
- an overdue independent accountant’s report
- failed to comply with grant terms and conditions
Subsidy control (and State aid where applicable)
This competition provides funding in line with the Subsidy Control Act 2022. Further information about the Subsidy requirements can be found within the Subsidy Control Act 2022 (legislation.gov.uk)
Innovate UK is unable to award organisations that are considered to be in financial difficulty. We will conduct financial viability and eligibility tests to confirm this is not the case following the application stage.
EU State aid rules now only apply in limited circumstances. Please see our general guidance to check if these rules apply to your organisation.
Further Information
If you are unsure about your obligations under the Subsidy Control Act 2022 or the State aid rules, you should take independent legal advice. We are unable to advise on individual eligibility or legal obligations.
You must always make sure that the funding awarded to you is compliant with all current Subsidy Control legislation applicable in the United Kingdom.
This aims to regulate any advantage granted by a public sector body which threatens to, or actually distorts competition in the United Kingdom or any other country or countries.
Funding
Up to £5 million has been allocated across both strands to fund innovation projects in this competition. Funding will be in the form of a grant.
If your organisation’s work on the project is commercial or economic, your funding request must not exceed the limits below. These limits apply even if your organisation normally acts non-economically but for the purpose of this project will be undertaking commercial or economic activity.
For feasibility studies and industrial research projects, you could get funding for your eligible project costs of:
- up to 70% if you are a micro or small organisation
- up to 60% if you are a medium sized organisation
- up to 50% if you are a large organisation
For experimental development projects which are nearer to market, you could get funding for your eligible project costs of:
- up to 45% if you are a micro or small organisation
- up to 35% if you are a medium sized organisation
- up to 25% if you are a large organisation
For more information on company sizes, please refer to the company accounts guidance.
If you are applying for an award funded under State aid Regulations, the definitions are set out in the European Commission Recommendation of 6 May 2003.
Your proposal
The aim of this competition is to advance the Professional and Financial Services sectors by supporting them in the creation and adoption of new digitally supported services.
Your project must focus on one or more of the following:
- legal services
- accountancy and audit
- insurance
- open finance innovation
- financial planning and support for consumers and SME’s
- financial regulatory compliance and financial crime prevention (such as fraud and anti-money laundering)
- payments and transactions
Your project must include the following:
- clear consideration of user experience and design
- consideration of broader, non-technical aspects including ethics, privacy, transparency and regulatory requirements
- consideration of barriers to adoption within these sectors and approaches to address them
- quantify how the solution will be exploited
Your project must address innovation in the relevant areas.
Portfolio approachWe want to fund a variety of projects across different technologies, sectors, and supporting excluded or underserved businesses, communities or individuals. We call this a portfolio approach.
Specific themes
We are particularly encouraging applications that:
- are for projects that increase access to the services by underserved or excluded communities, individuals, and businesses
- cover more than one sector in scope
- address broad sector wide needs
- involve collaborations with non-grant funded professional and financial service providers
- are multidisciplinary and include social science as well as science and engineering
Research categories
Projects we will not fund
We are not funding projects:
- that are quantum technology development (use of existing quantum technologies in delivery of a service is in scope)
- that focus on climate finance
- that focus on development of new cryptocurrencies
- that focus on green finance
- that do not meet the competition eligibility or scope
- where other Innovate UK funding support is available and more appropriate
We cannot fund projects that are:
- dependent on export performance, for example giving a subsidy to a baker on the condition that it exports a certain quantity of bread to another country
- dependent on domestic inputs usage, for example giving a subsidy to a baker on the condition that it uses 50% UK flour in their product
- 1 August 2023
- Online Briefing event: watch the recording
- 1 August 2023
- Competition opens
- 27 September 2023 5:00pm
- Competition closes
- 3 November 2023
- Applicants notified
Before you start
Text update 24 July 2023: we have changed the following:
Project Impact questions apply to this competition, now referred to in section 4.
You must read the guidance on applying for a competition on the Innovation Funding Service before you start.
Before submitting, it is the lead applicant’s responsibility to make sure:
- that all the information provided in the application is correct
- your proposal meets the eligibility and scope criteria
- all sections of the application are marked as complete
You can reopen your application once submitted, up until the competition deadline. You must resubmit the application before the competition deadline.
What we ask you
The application is split into 4 sections:
- Project details.
- Application questions.
- Finances.
- Project Impact.
Accessibility and inclusion
We welcome and encourage applications from people of all backgrounds and are committed to making our application process accessible to everyone. This includes providing support, in the form of reasonable adjustments, for people who have a disability or a long-term condition and face barriers applying to us. Watch the video on how we are making our application process more accessible and inclusive for everyone.
You must contact us as early as possible in the application process. We recommend contacting us at least 15 working days before the competition closing date to ensure we can provide you with the most suitable support possible.
You can contact us by emailing support@iuk.ukri.org or calling 0300 321 4357. Our phone lines are open from 9am to 12pm and 2pm to 5pm, Monday to Friday (excluding bank holidays).
1. Project details
This section provides background for your application and is not scored.
Application team
Decide which people from your organisation will work with you on the project and invite those people to help complete the application.
Application details
Give your project’s title, start date and duration.
Research category
Select the type of research you will undertake.
Project summary
Describe your project briefly and be clear about what makes it innovative. We use this section to assign the right experts to assess your application.
Your answer can be up to 400 words long.
Public description
Describe your project in detail and in a way that you are happy to see published. Do not include any commercially sensitive information. If we award your project funding, we will publish this description. This could happen before you start your project.
Your answer can be up to 400 words long.
Scope
Describe how your project fits the scope of the competition. If your project is not in scope it will not be sent for assessment. We will tell you the reason why.
Your answer can be up to 400 words long.2. Application questions
The assessors will score all your answers apart from question 1. You will receive feedback for each scored question. Find out more about how our assessors assess and how we select applications for funding.
You must answer all questions. Your answer to each question can be up to 400 words long. Do not include any website addresses (URLs) in your answers.
Question 1. Applicant location (not scored)
You must state the name and full registered address of your organisation and any subcontractors working on your project.
We are collecting this information to understand the geographical location of all applicants.
Question 2. Need or challenge
What is the business need, technological challenge, or market opportunity behind your innovation?
Explain:
- the main motivation for the project
- the business need, technological challenge or market opportunity
- whether you have identified any similar innovation and its current limitations, including those close to market or in development
- any work you have already done to respond to this need, for example, if the project focuses on developing an existing capability or building a new one
- the wider economic, social, environmental, cultural or political challenges which are influential in creating the opportunity, such as incoming regulations and using our Horizons tool if appropriate
Question 3. Approach and innovation
What approach will you take and where will the focus of the innovation be?
Explain:
- how you will respond to the need, challenge or opportunity identified
- how you will improve on any similar innovation that you have identified
- whether the innovation will focus on existing technologies in new areas, the development of new technologies for existing areas, or a totally disruptive approach
- the freedom you have to operate
- how this project fits with your current product, service lines or offerings
- how it will make you more competitive
- the nature of the outputs you expect from the project, for example reports, demonstrator, know-how, new process, product or service design, and how these will help you to target the need, challenge or opportunity identified
You can submit one appendix to support your answer. It can include diagrams and charts. It must be a PDF, up to 2 A4 pages long and no larger than 10MB in size. The font must be legible at 100% zoom.
Question 4. Team and resources
Who is in the project team and what are their roles?
Explain:
- the roles, skills and experience of all members of the project team that are relevant to the approach you will be taking
- the resources, equipment and facilities needed for the project and how you will access them
- the details of any vital external parties, including subcontractors, who you will need to work with to successfully carry out the project
- any roles you will need to recruit for
You can submit one appendix, with a short summary of the main people working on the project to support your answer. It must be a PDF, up to 4 A4 pages long and no larger than 10MB in size. The font must be legible at 100% zoom.
Question 5. Market awareness
What does the market or markets you are targeting look like?
Describe:
- the target markets for the project outcomes and any other potential markets (domestic, international or both)
- the size of the target markets for the project outcomes, backed up by references where available
- the structure and dynamics of the target markets, including customer segmentation, together with predicted growth rates within clear timeframes
- the target markets’ main supply or value chains and business models, and any barriers to entry that exist
- the current UK position in targeting these markets
- the size and main features of any other markets not already listed
If your project is highly innovative, where the market may be unexplored, describe or explain:
- what the market’s size might be
- how your project will try to explore the market’s potential
Question 6. Outcomes and route to market
How are you going to grow your business and increase long term productivity as a result of the project?
Explain:
- your current position in the markets and supply or value chains outlined, and whether you will be extending or establishing your market position
- your target customers or end users, and the value to them, for example, why they would use or buy your product
- your route to market
- how you are going to profit from the innovation, including increased revenues or cost reduction
- how the innovation will affect your productivity and growth, in both the short and the long term
- how you will protect and exploit the outputs of the project, for example through know-how, patenting, designs or changes to your business model
- your strategy for targeting the other markets you have identified during or after the project
Question 7. Wider impacts
What impact might this project have outside the project team?
Describe and, where possible, measure the economic benefits from the project such as productivity increases and import substitution, to:
- external parties
- customers
- others in the supply chain
- broader industry
- the UK economy
Describe and, where possible, measure:
- any expected impact on government priorities
- any expected environmental impacts, either positive or negative
- any expected regional impacts of the project
Describe any expected social impacts, either positive or negative, on, for example:
- quality of life
- social inclusion or exclusion
- jobs, such as safeguarding, creating, changing or displacing them
- education
- public empowerment
- health and safety
- regulations
- diversity
Question 8. Project management
How will you manage your project effectively?
Explain:
- the main work packages of your project, indicating the lead partner assigned to each and the total cost of each one
- your approach to project management, identifying any major tools and mechanisms you will use to get a successful and innovative project outcome
- the management reporting lines
- your project plan in enough detail to identify any links or dependencies between work packages or milestones
You must submit a project plan or Gantt chart as an appendix to support your answer. It must be a PDF, up to 2 A4 pages long and no larger than 10MB in size. The font must be legible at 100% zoom.
Question 9. Risks
What are the main risks for this project?
Explain:
- the main risks and uncertainties of the project, including the technical, commercial, managerial and environmental risks
- how you will mitigate these risks
- any project inputs that are critical to completion, such as resources, expertise, and data sets
- any output likely to be subject to regulatory requirements, certification, ethical issues and other requirements identified, and how you will manage this
You must submit a risk register as an appendix to support your answer. It must be a PDF, up to 2 A4 pages long, and no larger than 10MB in size. The font must be legible at 100% zoom.
Question 10. Added value
How will this public funding help you to accelerate or enhance your approach to developing your project towards commercialisation? What impact would this award have on the organisations involved?
Explain:
- what advantages public funding would offer your project, for example: appeal to investors, more partners, reduced risk or a faster route to market (this list is not exhaustive)
- the likely impact of the project outcomes on the organisations involved
- what other routes of investment or means of support you have already approached and why they were not suitable
- how any existing or potential investment or support will be used in conjunction with the grant funding
- what your project would look like without public funding
- how this project would change the R&D activities of all the organisations involved
Question 11. Costs and value for money
How much will the project cost and how does it represent value for money for the team and the taxpayer?
In terms of your project goals, explain:
- your total project costs
- the grant you are requesting
- how each partner will finance their contributions to your project
- how this project represents value for money for you and the taxpayer
- how it compares to what you would spend your money on otherwise
- the balance of costs and grant across the project partners
- any subcontractor costs and why they are critical to your project
3. Finances
Each organisation in your project must complete their own project costs, organisation details and funding details in the application. Academic institutions must complete and upload a Je-S form.
For full details on what costs you can claim see our project costs guidance. You can also view our Application Finances video.4. Project Impact
This section is not scored but will provide background to your project.
Each partner must complete the Project Impact questions before being able to submit the application.
More information can be found in our Project Impact guidance and by viewing our Impact Management Framework video.
Background and further information
- The Kalifa review of UK Fintech
- Fintech Scotland R&I roadmap
- Lawtech UK 2021 report
- Professional and business services sector: creating further demand and growth outside London
- AI for Services 2022 Report
- Bank of England Final report: Artificial Intelligence Public-Private Forum
- National AI Strategy
Data sharing
This competition is operated by Innovate UK.
Innovate UK is directly accountable to you for its holding and processing of your information, including any personal data and confidential information. Data is held in accordance with our own policies. Accordingly, Innovate UK will be data controllers for personal data submitted during the application. Innovate UK’s Privacy Policy is accessible here.
Innovate UK complies with the requirements of GDPR, and is committed to upholding the data protection principles, and protecting your information. The Information Commissioner’s Office also has a useful guide for organisations, which outlines the data protection principles.
Find a project partner
If you want help to find a project partner, contact Innovate UK KTN.
Support for SMEs from Innovate UK EDGE
If you receive an award, you will be contacted about working with an innovation and growth specialist at Innovate UK EDGE. This service forms part of our funded offer to you.
These specialists focus on growing innovative businesses and ensuring that projects contribute to their growth. Working one-to-one, they can help you to identify your best strategy and harness world-class resources to grow and achieve scale.
We encourage you to engage with Innovate UK EDGE, delivered by a knowledgeable and objective specialist near you.Next steps
If you are successful with this application, you will be asked to set up your project.
You must follow the unique link embedded in your email notification. This takes you to your IFS Set Up portal, the tool that Innovate UK uses to gather necessary information before we can allow your project to begin.
You will need to provide:
- the name and contact details of your project manager and project finance lead
- a redacted copy of your bank details
- an exploitation plan
In order for us to process your claims, you must make sure you have a valid UK bank account. It is possible that it can take several weeks for a new account to be created. We would recommend starting this process as early as possible to avoid any delays to you project start date.
The bank details you give to us must relate to a UK high street bank that is regulated by the Prudential Regulation Authority (PRA). The account must have a BACS clearing facility and be in the same company name as your application.
If you have any doubts that your bank account will not meet Innovate UK's funding criteria, you can use the sort code checker. If you input the sort code and find a tick next to the ‘BACS Direct Credit payments can be sent to this sort code’, this will give you an indication that the bank account you hold is acceptable.
Finance checks
We will carry out checks to make sure you are an established company with access to the funds necessary to complete the project.
You must check your IFS portal regularly and respond to any requests we have sent for additional information to avoid any delays.
Failure to complete project setup may result in your grant offer being withdrawn.
Your Grant offer letter (GOL)
Once you have successfully completed project setup, we will issue your GOL.
The GOL will be made available on your IFS portal. You will need to sign and upload this before you start your project.
Your GOL will show the start date for your project, do not start your project before this date. Any costs incurred before your start date cannot be claimed as part of your grant.
If your application is unsuccessful
If you are unsuccessful with your application this time, you can view feedback from the assessors. This will be available to you on your IFS portal following notification.
Sometimes your application will have scored well, and you will receive positive comments from the assessors. You may be unsuccessful as your average score was not above the funding threshold or your project has not been selected under the portfolio approach if this is applied for this competition.
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