Contracts for Innovation: Battery innovation for dual use & defence Phase 1

The Battery Innovation Programme is investing up to £2m to accelerate innovative battery technologies that solve defence challenges.
Registration Details

28/09/2026 04/11/2026 11:00am
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Projects must have total costs of between £20,000 and £50,000, inclusive of VAT. These costs can usually be 100% funded.
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The Department for Business, Innovation, Science and Trade (BIST) through Innovate UK, part of UK Research and Innovation (UKRI), will invest up to £2 million in this Contracts for Innovation competition.

The battery innovation programme will enhance defence resilience and security of supply by accelerating the deployment of technologies that are maturing in the larger civil battery market. It will adapt these technologies to address defence sector challenges. The programme will also strengthen UK battery manufacturing, reduce reliance on overseas suppliers, secure critical dual-use supply chains and create new opportunities for UK businesses.

The aim of the competition is to accelerate the development of innovative battery technologies that address defence sector challenges.

Projects must cover one or more of the challenge areas set out by the defence sector:

  • UK based supply of high performance cell manufacturing technologies
  • Define the most effective level of standardisation for cell, battery pack, interface and/or use case
  • UK-based design and manufacture of battery packs
  • UK based low volume and custom cell manufacture
  • Progression of a UK High Power (UKHP) cell production facility
  • UK-based development of Battery Management Systems (BMS) systems

For details of each challenge, see “Specific themes” below.

This is phase 1 of a potential 2 phase competition. The decision to proceed with phase 2 will depend on the outcomes from phase 1 and assessment of a separate application into a subsequent phase 2 competition. Phase 2 is yet to be confirmed and may not be restricted solely to successful Phase 1 projects.

  • To lead a project, you can:

    • be an organisation of any size, including those based in the EU, EEA or internationally
    • work alone or with the subcontracted skills and expertise of others from business, research organisations, research and technology organisations, or the third sector (charities, social enterprises and voluntary groups)

    Contracts will be awarded to a single legal entity only. The majority of the project work and key deliverables must be completed by the applicant and be carried out in the UK, and most of the funding spent within the UK. Subcontractors can be used, but only for specialist skills.

  • Projects must:

    • start by 1 January 2027
    • end by 31 March 2027
    • last up to 3 months
    • have total costs of between £20,000 and £50,000, inclusive of VAT
    • have all project cost spent before 31 March 2027

    Contracts for Innovation competitions involve procurement of R&D services and are not subject to subsidy control criteria. This competition is run by the Authority under the Procurement Act 2023 (R&D exemption). This means that projects can usually be 100% funded.

  • The battery innovation programme will enhance defence resilience and security of supply by accelerating the deployment of technologies that are maturing in the larger civil battery market. It will adapt these technologies to address defence sector challenges. The programme will also strengthen UK battery manufacturing, reduce reliance on overseas suppliers, secure critical dual-use supply chains and create new opportunities for UK businesses.

    The aim of the competition is to accelerate the development of innovative battery technologies that address defence sector challenges.

    The programme will support the UK civil and defence battery sectors by identifying dual use battery technologies and routes for transferring them between sectors. It will also develop the use cases and business cases needed to support wider adoption.

    This includes battery technologies that do not align with current large scale manufacturing priorities but are critical to the UK’s sovereign defence capability.

    The programme will focus on industrial research, prioritising projects at higher technology readiness levels (TRLs) that can progress rapidly towards operational use.

  • Projects must cover one or more of the challenge areas set out by the defence sector:

    UK based supply of high performance cell manufacturing technologies

    This can include:

    • pouch cells
    • primary cells
    • Li-S
    • Li-metal anodes
    • Na-ion

    You must demonstrate supply resilience through:

    • secure domestic sourcing
    • minimal foreign dependency
    • scalable production for defence requirements
    Define the most effective level of standardisation for one or more of the following
    • cell
    • battery pack
    • interface
    • use case

    This must enable seamless integration of dual-use batteries between civil manufacturing lines and defence applications.

    UK-based design and manufacture of battery packs

    Design and manufacture battery packs in the UK using 18650 and 21700 cells from secure and resilient supply chains. Evaluate the viability of 21700 cells compared with 18650 cells. Your findings must inform the development of future military standards for industry.

    Your application can include:

    • personal soldier battery packs
    • drone battery packs
    • replacements for portable generators
    • 21700 BB-2590 demonstrators
    • Soldier Tactical Universal Battery (STUB) demonstrators
    UK based low volume and custom cell manufacture

    Establish a dedicated UK capability for the prototyping, pilot production, and low-volume manufacture of bespoke battery cells tailored to specialised operational requirements. You must demonstrate manufacturing agility such as:

    • pilot-line adaptability without high capital reconfiguration
    • sovereign control of intellectual property and tooling
    • reliable supply chains for specialised precursors and active materials
    Progression of a UK High Power (UKHP) cell production facility

    Advance the technical maturity, manufacturability, and performance baseline of a sovereign UK High Power (UKHP) cell to support high rate defence capabilities. Develop and de-risk cell designs capable of high continuous and pulse discharge rates.

    UK-based development of Battery Management Systems (BMS) systems

    Design and manufacture secure, modular, and resilient Battery Management Systems (BMS) within the UK, engineered for defence infrastructure applications.

    Your system can include:

    • multi-chemistry monitoring and adaptive state of charge and state of health algorithms
    • active cell balancing for extended mission life
    • advanced thermal management controls for high power demands

    You must demonstrate resilience such as through:

    • cyber secure firmware architectures resistant to interception and tampering
    • trusted electronic component sourcing with minimal reliance on foreign silicon
  • Your project must deliver both of the following:

    1. Use case

    Develop a use case based on one or more of the challenge areas listed above.

    The use case can cover:

    • technical requirements
    • user requirements
    • operational guidelines
    • system architecture
    • security considerations
    • relevant standards

    Your use case must:

    • demonstrate the practical application of the proposed battery technology
    • explain how the project will support further development
    • consider supply chain resilience
    • clearly state your supply chain resilience assumptions
    • explain how you will secure reliable access to batteries
    • demonstrate alignment with the Ministry of Defence’s supply chain risk appetite

    The completed use case will be shared with the Department for Business Innovation, Science and Trade (BIST), the Ministry of Defence and its subsidiaries.

    1. Outline business case

    Develop an outline business case based on your chosen use case.

    Your business case must include:

    • the business need
    • market analysis
    • stakeholder mapping
    • stakeholder engagement

    It can also cover:

    • supply chain mapping
    • a commercialisation strategy
    • strategic alignment
    • economic viability
    • commercial barriers to adoption

    Your business case must demonstrate the commercial viability of the chosen use case.

    The completed business case will be shared with the Department for Business Innovation, Science and Trade, the Ministry of Defence and its subsidiaries.

    Successful projects are expected to demonstrate how their technology has been developed to meet the defence sector challenges. This can be in the form of:

    • simulation
    • prototyping
    • demonstrator trials
    • other methods

    It must be used as evidence in the use case and business case.

    Successful projects will be expected to attend a programme event to engage with the community and provide progress updates.

    Your project must focus on battery cell manufacturing or battery pack design and manufacturing technologies to fit a defence environment.

    Contracts will be given to successful applicants.

    You must define your goals in your application and outline your plan for phase 2.

    You must demonstrate a credible and practical route to market, so your application must include a plan to commercialise your results.

    At this stage contracts will only be given for phase 1.

    Subject to funding, in phase 2 we will ask successful applicants from phase 1 to further develop the work, based on the outputs of phase 1.

  • Innovate UK Business Connect will hold an online briefing on Thursday 1 October 2026 from 10am-noon: click here to register for a place.

    If you would like help to find a subcontractor or advice on challenge areas, contact Innovate UK Business Connect’s Batteries or Security & Defence teams.

Innovate UK's application and funding process

If you need more information about how to apply, please read our funding support pages. For additional support, reach out to our team of innovation experts who are ready to help you navigate the application process and maximise your chances of success.

For more information

Application support and guidance

Accessibility and Inclusion

Innovate UK welcome and encourage applications from people of all backgrounds and are committed to making our application process accessible to everyone. This includes making reasonable adjustments, for people who have a disability or a long-term condition and face barriers applying to us.

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Get in touch

If you have any questions about the scope requirements of this competition, email support@iuk.ukri.org or call 0300 321 4357.


Our phone lines are open from 9am to 5pm, Monday to Friday (excluding bank holidays).

Programme

This opportunity is part of Cross-Sector Battery Systems Innovation Network.

The Cross-Sector Battery Systems Innovation Network, funded by Innovate UK, is a cross-sectoral and collaborative community of technology developers and end-users.

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