TechLocal: Connecting Local Talent to Local Tech Jobs

Key Features

UK registered organisations can apply for a share of up to £7.6 million to enable career and growth opportunities in the tech sector. This funding is from the Department for Science, Innovation and Technology (DSIT).

Programme:     Innovate UK

Award:     Share of up to £7.6 million

Opens: 4th Feb 2026

Closes: 18th Mar 2026

Overview

Innovate UK, part of UK Research and Innovation (UKRI), will work with Department for Science, Innovation and Technology (DSIT) to invest up to £7.6 million in innovation projects. This is subject to a sufficient number of high quality applications being received.

These will be for collaborative projects to resolve the barriers for tech talent across the UK to access entry level roles in frontier technology sectors. This competition is part of the TechFirst programme.

Scope

The aim of this competition is to develop impactful local initiatives that enable tech talent to secure entry level tech jobs by bridging the gap between training and employment.

Your project must:

  • be delivered and demonstrate impact in one or more of the specified geographic areas, addressing a local need or leveraging a local strength
  • demonstrate clear impact in one or more frontier technologies by enabling local talent into entry level tech jobs and helping SMEs adopt these technologies through skilled workforces
  • alignment with national and local economic growth plans and skills strategies, such as DWP Jobcentres, the Growth and Skills Levy, LSIPs and local defence plans
  • demonstrate contribution to the overall TechLocal target of 1,000 new tech jobs

See the Support Information section for more details.

The six frontier technology sectors are:

  • Artificial Intelligence
  • Cyber Security
  • Engineering Biology
  • Semiconductors
  • Advanced Connectivity Technologies (ACT)
  • Quantum

The lead organisation must have a physical presence and be already operating in the geographical area where the project is going to be delivered.

The specific geographical areas are:

  • North West England
  • South West England
  • Yorkshire and Humber
  • North East England
  • East Midlands
  • West Midlands
  • South East England
  • East of England
  • London
  • Scotland
  • Wales
  • Northern Ireland

For the purpose of this competition, a physical presence is defined as having one or more of the following in the region:

  • a registered office or trading address
  • a permanent office, hub, laboratory or facility
  • shared office or incubator space, excluding PO boxes
  • manufacturing, testing or research and development facilities

Your project can:

  • include plans for sustainability and scalability, showing how the approach could continue or expand after the funding period
  • target occupations on the Critical Shortage List and support SME growth through workforce development
  • empower SMEs across the UK to prepare for, adopt, and use frontier technologies more effectively by facilitating access to a skilled workforce

See the Support Information section for more details.

We welcome applications that include intensive employer engagement and solutions that go beyond simple signposting.

We will prioritise applications that support women into the tech workforce of the six frontier technologies listed.

Portfolio approach

We want to fund a variety of projects across different geographical areas, technologies, markets, technological maturities and costs. We call this a portfolio approach.

Specific Themes

Your project can focus on the following:

  • creating networks of employers to access tech talent to provide work experience or other opportunities as part of their recruitment strategies
  • development of innovative ways to de-risk tech talent recruitment for SMEs, including third-party contracting models
  • development of innovative recruitment practices especially focused on supporting women into the tech workforce
  • creating new and innovative employment pathways for Growth and Skills Levy-trained individuals, especially those on the Temporary or Critical Shortage List
  • developing new, innovative and collaborative initiatives to bridge the gap between newly trained tech talent and employment readiness through work experience and wraparound support

Eligibility

Your project must:

  • have a grant funding request of between £100,000 and £225,000
  • last between 6 and 9 months
  • not start before the 1 July 2026
  • end by the 31 March 2027

Any funded organisation needs to carry out their project work in the UK and must intend to exploit the project results from or in the UK.

Projects must always start on the first of the month, even if this is a non-working day. You must not start your project until your Grant Offer Letter has been approved by Innovate UK. Any delays within Project Setup may mean we need to delay your project start date.

You must only include eligible project costs in your application. See our overview of eligible project costs. For specific guidance, see the eligibility section in this competition.

Lead organisation

To lead a collaborative project your organisation must be a UK registered business of any size, a Research and Technology Organisation (RTO), charity, not for profit or public sector organisation.

Local Authorities cannot lead.

More information on the different types of organisation can be found in our Funding rules.

Project team

To collaborate with the lead, your organisation must be one of the following UK registered:

  • business of any size
  • academic institution
  • charity
  • not for profit
  • public sector organisation
  • research and technology organisation (RTO)

Each partner organisation must be invited into the Innovation Funding Service (IFS) by the lead to collaborate on a project. Once partners have accepted the invitation, they will be asked to login or to create an account in the IFS. They are responsible for entering their own project costs in the application.

To be an eligible collaboration, the lead and at least one other organisation must:

  • apply for funding when entering their costs into the application.
  • include rationale for the collaboration and describe the structure in your application
  • ensure any one partner does not account for more than 70% of the total eligible costs

Non-funded partners

Your project can include organisations who do not claim any funding for their work on the project. Their costs will be covered from their own resources. These can include UK, EU and other non-UK organisations. Non-UK partners are permitted to carry out project work from within their home countries and exploit the results outside the UK.

Where non-funded partners have been invited to the application on IFS, their costs will count towards the total eligible project costs.

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 cannot use subcontractors 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 eligible project costs.

Number of applications

A business, research and technology organisation (RTO), charity, not for profit or public sector organisation can only lead on one application but can be included as a collaborator in a further two applications.

If an organisation is not leading any application, it can collaborate in two applications.

Local authorities cannot lead an application but can collaborate in any number of applications.

If these limits are exceeded, applications will be made ineligible. Where an organisation appears on more applications than permitted, only the first eligible applications submitted will be considered.

Sanctions

This competition will not fund you, or provide any financial benefit to any individual or entities directly or indirectly involved with you, which would expose Innovate UK or any direct or indirect beneficiary of funding from Innovate UK to UK Sanctions. For example, through any procurement, commercial, business development or supply chain activity with any entity as lead, partner or subcontractor related to these countries, administrations and terrorist groups.

Use of animals in research and innovation

Innovate UK expects and supports the provision and safeguarding of welfare standards for animals used in research and innovation, according to best practice and up to date guidance.

Any projects selected for funding which involve animals will be asked to provide additional information on welfare and ethical considerations, as well as compliance with any relevant legislation as part of the project start-up process. This information will be reviewed before an award is made.

You can use a previously submitted application to apply for this competition.

Exclsusions

We are not funding projects that:

  • are not in scope for this competition
  • do not have clear impact in one or more of the twelve specified geographical areas
  • do not have an impact or application on at least one of the six frontier technologies specified in this brief
  • replicate the aims or activities of other TechFirst initiatives
  • replicate other local projects such as those delivered via the Local Innovation Partnerships
  • are limited to research papers or feasibility studies

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

Funding Costs

Up to £7.6 million has been allocated to fund innovation projects in this competition. This is subject to us receiving a sufficient number of high quality applications. Funding will be in the form of a grant.

We reserve the right to adjust funding allocations for any of our competitions under exceptional circumstances, for example, in response to changes in policy, portfolio funding considerations, or broader government funding decisions.

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 industrial research you can get funding for your eligible project costs of:

Category 2 Industrial research projects

Funding available 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

Streamline Scheme Information

This scheme supports research or critical investigation to gain new knowledge and skills. The aim is to develop new products, processes or services.

It can also fund projects that make a significant improvement to existing products, processes or services.

This includes digital products, processes or services in any technology, industry or sector. Examples include:

  • supercomputing
  • quantum technologies
  • blockchain technologies
  • artificial intelligence
  • cyber security
  • big data
  • cloud technologies

For more information on company sizes, 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.

Innovate UK may revoke our decision to provide funding without notice if government commitment for this initiative is withdrawn.

Research participation

The research organisations undertaking non-economic activity as part of the project can share up to 50% of the total eligible project costs. If your consortium contains more than one research organisation undertaking non-economic activity, this maximum is shared between them. Of that 50% you can get funding for your eligible project costs of up to:

  • 100% of your eligible project costs if you are an RTO, charity, not for profit organisation, public sector organisation or research organisation
  • 80% of full economic costs (FEC) if you are a Je-S registered institution such as an academic

Eligibility criteria for claiming 80% of FEC funding

  1. Research organisations using the Je-S system must submit their costs through the Je-S system which calculates the 80% FEC figure.
  2. On IFS, only the 80% FEC output should be entered at 100% funding.
  3. Applicants do not need to show the remaining 20% on the finance table.

To find out more see our: Cost Guidance for Academics.

Interested in applying for this competition?

Book an appointment to speak to one of our advisors to discuss your eligibility to apply for this Grant Funding opportunity.