UK Business Grants: A Practical Guide to Free Funding

A business grant is funding you do not have to repay, usually awarded to support specific goals such as innovation, job creation, net-zero or regional growth. They are competitive and often come with conditions, but they are genuinely free capital.

Where to find grants

• The government’s find-a-grant service and Innovate UK.
• Local growth hubs, councils and Local Enterprise Partnerships.
• Sector and sustainability-focused funds.
• Start Up Loans and enterprise support (loan + mentoring rather than a grant).

Typical eligibility

Grants usually target a defined purpose, region or business type, and often require match funding (you contribute a share). Read criteria carefully — applying for the wrong grant wastes time.

Writing a winning application

1. Address the funder’s objectives explicitly, not just your own.
2. Use clear, quantified outcomes (jobs, growth, emissions saved).
3. Provide a realistic, costed budget.
4. Show you can deliver and sustain the project.

Grants and loans together

Many businesses combine a grant with a government-backed loan to fully fund a project — the grant covers part, finance covers the rest.

This article is general information, not financial advice. Eligibility, rates and terms vary by lender and your circumstances. The Loans Hub is a finance broker, not a lender.