DRIVE35 Scale-up: Feasibility Studies 2

Overview

DRIVE35 Scale-up: Feasibility Studies 2 is a DBT-backed programme delivered with Innovate UK and the Advanced Propulsion Centre (APC) to accelerate UK manufacturing readiness for zero-emission vehicle (ZEV) technologies. Up to £5m in grants will fund investment-ready feasibility studies that de-risk UK manufacturing facilities (pilot, demonstration or industrial scale) and advance market entry for UK supply-chain businesses.

Scope

Supports feasibility studies to develop an investment-ready business case for UK-based manufacturing facilities and processes. Projects must strengthen the UK automotive supply chain and align with national priorities (e.g. Automotive Council roadmaps, Industrial Strategy). Activities can include manufacturing process mapping and facility layouts, production maturity planning, commercialisation and financial modelling, supply-chain and workforce plans, digitalisation and decarbonisation roadmaps, and close-out reporting to APC. Circularity, digital transformation, decarbonised manufacturing and lean practices are in scope.

Key themes and topics

• Battery & storage: cells, packs, supercapacitors, components, management and integrated systems
• E-machines & driveline
• Power electronics (incl. V2X)
• Fuel cells & hydrogen: stacks, balance-of-plant, hydrogen storage/management
• Light-weighting: advanced materials and manufacturing structures
• ZEV assembly and associated supply chain
• Upstream supply chain: raw materials, components, sub-assemblies
• Circularity & design for disassembly
• Manufacturing productivity enablers: digital twins, IoT/AI, process decarbonisation, capture & reuse, advanced automation, lean
  Target markets include on-highway (L-category to HGV) and off-highway/NRMM (construction, agriculture, mining). Applicants must show customer engagement and route to adoption. (ICE for off-road is in scope only where it supports transition to zero emissions via non-fossil fuels.)

Project duration

• Project length: up to 9 months
• Must start by: 1 May 2026 Must end by: 31 January 2027
• Work must be carried out in the UK (exploitation from/in the UK). Projects start on the 1st of a month.

Award value

• Grant request: £150,000 to £750,000 per project (feasibility studies)
• Competition pot: up to £5 million

Funding rates

• Businesses: up to 60% of eligible costs (SMEs); up to 50% (large)
• Research organisations/RTOs/charities/universities: cannot lead; may participate as subcontractors to a business lead
• APC industrial contribution: 3.5% payable on each grant received

Eligibility criteria

• Lead: UK-registered business (any size); single applicant permitted
• Partners: collaboration not required; subcontractors may be UK or justified overseas (must evidence why UK suppliers cannot be used)
• Project fit: manufacturing feasibility only (not technology R&D); product must be at least TRL5 / MRL4; clear plan to enter the ZEV supply chain; alignment with UK priorities
• Compliance: Subsidy Control (RD&I Streamlined Scheme SC10780), sanctions, and (if relevant) UKRI animal welfare guidance
• Dates: application window 10 Nov 2025 – 17 Dec 2025 (11:00 UK); notifications by 5 Mar 2026; projects may start from 1 May 2025 (per competition rule: start on 1st of month; official requirement states start by 1 May 2026)

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