Small and medium-sized enterprises (SMEs) can now bid for a share of £1.8m to make freight cleaner, more sustainable and more efficient through artificial intelligence (AI).
Now in its third year, the Freight Innovation Fund Accelerator is open for entries for the latest round of funding, supporting the freight sector in deploying cutting-edge AI technology and automation to improve the way trains, lorries, vans and ships carry parcels and goods.
The funding boost will enable more people and businesses across the UK to benefit from smarter, more efficient and more sustainable deliveries. It will also boost the UK supply chain as part of the Government’s plan to grow the economy.
It’s part of a wider £7m fund to drive innovation and sustainability in freight sector. The first two years of the fund saw nearly £3m allocated to several SMEs, helping new innovations become reality. Examples of ground-breaking ideas that have got off the ground – literally – thanks to the fund include Royal Mail working with Skyports to deliver mail by drones across the islands in Orkney. This is the first ever time that mail has been delivered by drones in the UK, allowing Royal Mail to deliver 24 hours faster than using vans or ferries.
The Freight Innovation Fund has also supported FedEx in trialling new e-cargo bikes to deliver parcels quickly in traffic-heavy city centres, helping decarbonise deliveries.
Roads Minister Guy Opperman said: “The freight and logistics sectors are part of our economy’s backbone, ensuring supermarket shelves are stocked, hospitals receive crucial medical supplies and important deliveries are made.
“That’s why, as part of the Government’s plan to grow the economy, the Freight Innovation Fund is supporting businesses to innovate and back skilled UK jobs.
The fund was originally launched in 2022 as part of the Government’s Future of Freight plan, the first-ever plan for government and industry to work closely together to deliver a “world-class, seamless flow of freight across the UK’s roads, railways, seas, skies and canals”.
Delivered by Connected Places Catapult, the Freight Innovation Fund will give SMEs access to technical and business support from the organisation.
Previous funding winners from the £1.2m government Year 1 fund have reported a collective £97m in commercial investment, decarbonising supply chains and supporting jobs.
Connected Places Catapult’s chief executive officer, Erika Lewis said: “The UK’s freight sector plays a major contribution to our economy, but there are many opportunities worth exploring to improve efficiencies and environmental performance associated with the movement of goods.
“I am excited to see what new ideas and technologies companies taking part in the Freight Innovation Fund Accelerator come up with, and I encourage SMEs to come forward.”
Applications for the third round of the Freight Innovation Fund close 9 June 2024. More details are here.
