The Department for Transport (DfT), in collaboration with Connected Places Catapult, is seeking innovative AI solutions that can revolutionise transport, delivering faster, cleaner, and more affordable journeys for everyone. This competition explores how Artificial Intelligence can optimise planning, automate processes, and enhance decision-making across the UK’s transport system.
The Government has recently published its Transport Artificial Intelligence Action Plan, which sets out how DfT will work with the transport sector to exploit the opportunities from AI while managing potential risks.
Advances in AI mean that there are exciting new opportunities to further digitalise and integrate existing systems with innovative AI-driven solutions that can drive efficiency, enhance sustainability, and ensure that the UK transport system is future-ready.
This competition seeks real-world examples of AI applications that demonstrate scalability, practical feasibility, and measurable outcomes, all aimed towards creating a smarter transport system.
Proposals should focus on one or more of the following AI for Smarter Transport Systems challenge areas: see below for further details of each.
- Automating inspection and predictive maintenance
- Optimisation of network operations
- Enabling major transport infrastructure project efficiencies
- Building climate resilience with AI
- Creating an inclusive transport system
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To be eligible, applicants must meet the following criteria:
- You must be a UK-registered business
- You must be an SME (Small or Medium-sized Enterprise with less than 250 employees)
- Your solution must be TRL 2-6
- Applications from large organisations (including universities) will not be accepted
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Phase One
Up to 25 applicants will receive up to £1,000 to develop their use cases over a two-week period in January 2026.
Duration: 2 weeks | Funding: £1,000Phase Two
Approximately 10 shortlisted participants will be invited to pitch their solution to a panel of experts and senior leaders in London in early March 2026.
Duration: 1 month | Funding: in-kind supportPhase Three
Up to 3 finalists will each receive a grant of up to £13,000 to develop a business case over three months (April – July 2026), plus a presenting opportunity at Connected Places Catapult’s Connected Summit (18-19 March 2026).
Duration: 4 months | Funding: £13,000 -
Proposals should focus on one or more of the following AI for Smarter Transport Systems challenge areas:
1. Automating inspection and predictive maintenance
Leveraging AI to enhance the efficiency, accuracy, and timeliness of transport asset inspections and maintenance.
2. Optimisation of network operations
Using AI to dynamically manage and optimise transport networks across all modes—road, rail, maritime, freight, aviation, and active travel.
3. Enabling major transport infrastructure project efficiencies
Exploring AI applications that improve the planning, delivery, and oversight of large-scale transport infrastructure projects, including investment decision-making, risk management, and stakeholder coordination.
4. Building climate resilience with AI
Using AI to build resilience and sustainability into transport systems in the face of climate change. This includes forecasting demand shifts, modelling environmental degradation, and supporting long-term adaptation strategies.
5. Creating an inclusive transport system
This challenge area focuses on how AI can help make transport systems more inclusive for all users, including those with disabilities, older adults, and underserved communities. It includes improving physical access, digital engagement, and service design to ensure equitable mobility experiences.
For further information on the challenges including suggested examples, please refer to the Application Guidance Document.
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If you have any questions about the programme or application process, please contact the Innovation Funding team: innovation_funding@cp.catapult.org.uk
You can also contact Innovate UK Business Connect’s Transport team.