UK Government allocates £7 million funding for SMEs to drive AI innovation

The United Kingdom has revealed a funding initiative focusing on strengthening artificial intelligence (AI) adoption among small and medium-sized enterprises (SMEs) operating in high-growth sectors 

With £7 million up for grabs, the initiative looks to drive innovative AI projects that address business challenges across diverse industries.

What is the funding?

The funding, facilitated through the UK Research and Innovation (UKRI) Technology Missions Fund and administered by Innovate UK’s BridgeAI program, aims to help SMEs looking to integrate AI solutions into their operations. 

These solutions are expected to tackle a range of obstacles faced by industries experiencing rapid expansion, including agri-food, construction, transport and logistics, and the creative sector.

The two types of competition 

Two distinct competitions have been launched as part of this initiative. The first competition, backed by £5 million, focuses on supporting studies for AI solutions. These studies aim to develop a range of AI-driven innovations set to focus on specific business challenges within high-growth industries. 

SMEs are encouraged to collaborate with either another SME or an academic partner to develop AI solutions that enhance productivity and address industry-specific limitations.

The expected AI solutions have the potential to change various aspects of business operations, such as using data for informed decision-making, simplifying administrative tasks to optimise workforce efficiency, and refining supply chain management processes.

The second competition, supported by £2 million, focuses on existing projects from the first round, spanning sectors like fashion and farming. 

These projects are allowed to apply for additional funding to further develop their AI-driven creations.

The success of previous funding 

Previous initiatives funded through similar competitions have produced good results, including AI-powered tools for cloth recycling in the fashion industry, innovative solutions helping fire and rescue services transition to net-zero emissions, and advancements in disease detection and prediction in agricultural practices.

These competitions go hand in hand with the government’s vision outlined in response to the AI Regulation White Paper. The is further potential for AI to drive progress and deliver real benefits to communities.