


DRIVE35 Innovation Fund: Demonstrate
30/07/2025£150,000–£750,000
Project Value
8 months
Project Length
3 September 2025
Competition Closes
Driving Research and Investment in Vehicle Electrification (DRIVE35) is a programme led by the Department for Business and Trade aimed at transforming the UK's automotive industry. This competition is part of a long-term commitment for driving growth sectors within the government’s Industrial Strategy.
The aim of this competition is to support detailed feasibility studies into the deployment of UK-based manufacturing facilities for zero-emission vehicle technologies, such as:
- Pilot scale manufacturing
- Demonstration scale manufacturing
- Industrial scale manufacturing
This competition aims to support feasibility studies, enabling investment into manufacturing of strategically important technologies for on-board vehicle applications in one or more of the following areas:
- Electrical energy storage: Development of batteries, supercapacitors, their components, their management, and their integrated systems
- Electric machines and associated driveline
- Power electronics including vehicle-to-everything (V2X)
- Internal combustion engine for off-road applications; the programme funds project proposals that support a transition to zero emissions, utilising non-fossil fuels
- Lightweighting materials and manufacturing processes
- Fuel cell systems and associated balance of plant
- Hydrogen storage and management systems
- Zero-emission vehicle assembly
Your proposal is expected to enable an investment-ready business case, advancing your readiness for manufacturing at your targeted production maturity and volume.
Your project must:
- Support growth, transition, and resilience of the UK’s automotive supply chain by increasing capability whilst improving productivity, efficiency, and competitiveness.
- Contribute to the UK’s strategic aims and priorities, for example, the Industrial Strategy, and the Automotive Council’s Roadmaps and Strategic Technology areas.
- Undertake a feasibility study that develops a detailed plan, business case, and investment case for creation or conversion of manufacturing facilities for eligible on-vehicle technologies (including zero-emission vehicle assembly and the associated supply chain).
- Support the transition to zero-emission vehicles and have the potential to create and safeguard high-value jobs and create a lasting economic benefit to the UK.
- Deliver a detailed closeout report and present at a closeout meeting with the Advanced Propulsion Centre (APC). This is to review the business case, its outcomes, and next steps prior to closure and payment of the final claim.
Your project can enable you to:
- Develop a plan for the build or conversion of manufacturing facilities in the UK.
- Create a flow sheet or layout of your manufacturing process or manufacturing facility.
- Continue to develop robust commercialisation plans with a clear articulation on how the eligible technology will be commercialised or delivered to the automotive market at pace, from the UK and as a result of the project. This does not exclude spillover use in other sectors.
- Produce detailed costing and financial models examining the costs of developing and operating your manufacturing facility and the incomes that it could enable.
- Produce a business case for future investment that enables a decision:
- To invest in the project in the UK or;
- That clearly shows the potential barriers or challenges to doing so and the additional steps or measures to overcome these barriers
- Develop the insight, plans, and details required to show how you will secure investment in your manufacturing plan for the zero-emission vehicle supply chain in the UK.
You must develop business cases that take new technologies towards scale-up, market entry, and industrialisation. You must outline how your project will enable you to enter the following vehicle supply chain or markets:
- On-highway vehicles; for example, L-category, motorbike, car, bus, and truck applications
- Off-highway vehicles and non-road mobile machinery (NRMM); for example, construction, agriculture, mining, and other off-highway applications.