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ISCF Commercialising Quantum Technologies Tech Projects Competition Briefing

The document outlines the ISCF's efforts to commercialize quantum technology through funding opportunities aimed at UK businesses. It details various phases of competition, eligibility criteria, and funding streams, including plans for future initiatives, collaborative projects, and industry engagement. The goal is to accelerate the development and commercialization of quantum technologies by addressing technological barriers and fostering partnerships between businesses and research organizations.

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ISCF Comercialising Quantum Technology: Expression of interest Applicant briefing Wednesday 30th October
1 Welcome and introductions Quantum Background, Scope 2 Part 1 Eligibility criteria 3 Part 2 The Innovation Funding Service, application finances, academic partners 4 Part 3 Submitting your application, assessment, project setup for successful applicants Agenda
• Roger McKinlay – Director ISCF Quantum Challenge • Chris Jones – Deputy Director ISCF Quantum Challenge • Lydia Weir-Blankenstein – Portfolio Manager, Competitions Team Welcome and Introductions
Quantum Background
National Quantum Technology Programme Phase 1 Hubs and Capital Training and Skills NPL QMI Dstl Demo UKRI EPSRC Science ~£400M
Pioneer funding for Quantum A new set of products from medical devices to sensors and safer communication systems may be possible using the emerging physical science known as quantum technology. The potential is huge but still largely in the lab environment. Pioneer funding will bring new disruptive companies together with existing businesses to understand how this emerging technology can be turned into products that will underpin industry in the future. ISCF Wave 2 Quantum Pioneer - £20M funding
Progress to date - Projects KAIROS Pioneer Gravity 3QN AquaSec Miniature atomic clock Gravity detection for survey Quantum Key Distribution by Satellite Agile Quantum safe Communications. Quantum Key Distribution over Fibre There are 4 ISCF Quantum projects (£6-9m each) which all kicked off in November 2018. Led by Teledyne e2v (UK) Limited Led by RSK Environment Limited Led by ArQit Limited Led by Toshiba Research Europe Limited
NQTP2 – 2019 onwards Hubs NQCC ISCF Other Industry * * Hubs, Training and Skills Including CDTs and studentships
UK Industrial Strategy and ISCF
Industrial Strategy Challenge Fund objectives • Increased UK business investment in R&D and improved R&D capability and capacity • Increased multi- and interdisciplinary research • Increased business-academic engagement on innovation activities • Increased collaboration between younger, smaller companies and larger more established companies, connecting up value chains (or networks) • Increased overseas investment in R&D in the UK
Quantum Commercialisation ISCF Programme
Theresa May praises UK sector as she opens London Tech Week By Press Association PUBLISHED: 12:59, 10 June 2019 | UPDATED: 13:00, 10 June 2019 Prime Minister Theresa May has urged the tech industry to work with the Government to ensure Britain remains “one of the best places in the world to start and grow a tech business”. Mrs. May used a speech at the opening of London Tech Week to announce Government investment of more than £150 million in new technology such as quantum computing.
The Vision Grow the UK’s leadership in Quantum Technologies, delivering transformational products to a global market and removing a range of technological barriers to UK growth in productivity and competitiveness.
Exploiting Previous Investment EPSRC Funded Science Commercialisation Industrialisation Continued Government Support World Class Research Four Hubs Training and Skills QMI NQCC NPL Programme Dstl Programmes Innovate UK EE and Quantum Programmes ISCF Wave 2 ISCF Wave 3 Other Missions People and IP Facilities, People and IP, Industry-Academic Relationships, Embryonic Supply Chain Innovation centres Mature consortia, demonstrators, early products and services, industry investment, finance, T&E. scale-up. Future Initiatives Quantum Computing Institute Built on NQTP Phase 1 and ISCF Wave 2 Pioneer “The £1B NQTP.”
HOW MUCH INVESTMENT? ISCF Wave 3 £153m Industry matched funding £205m WHY ISCF WAVE 3? System Failures (Market, Coordination, Network.) Investment Risk Maintain Momentum International Competition OBJECTIVES • Products and Service • s 2019/20 2021/22 2022/23 2023/24 2024/252020/21 CR&D Feasibility Studies Technology Projects IA WHAT WILL WE DELIVER? WHAT ARE THE OUTCOMES Increased skills & knowledge Growth in export opportunities New product lines & services Increased R&D investment SME involvement Improved productivity & profitability Summary Sales of Products and Services R&D Investment Focussed Research Academic-Business coordination
Increased sales of QT products and services Increased UK business investment in R&D Increased multi- & interdisciplinary research Increased business-academic engagement Objectives
Wave 3 Delivery Strands
Quantum Products and Services (CR&D) • Up to £83m over 3 rounds • Industry led • Aimed at delivering new quantum products and services with a focus on the end user and a full supply chain. • Similar to the ISCF W2 Pioneer programme in 2018 but quantum computing IS in scope • Collaborative projects £2m-£10m up to 36 months • Expect to fund ~15 projects
Feasibility Studies (FS) • £12m over 2 rounds • Industry led • Need an SME to lead or as a partner • Smaller shorter projects, aimed at components and systems integration • Projects <£500k, up to 18 months • Expect to fund ~40 projects
Industry Investment and Matched Funding An important element in ISCF W3 has been an increased emphasis on industry co-investment • All W3 programmes have ambitious targets for industry matched funding that exceeds that built into competitions • Projects will need to identify non-competition matched funding and co-investment and how this will be measured • This will be an important part of the competition project assessment and monitoring process.
Technology Projects (Tech) • Up to £46m over 2 rounds • Industry led • Aimed at allowing industry to work together on common technology challenges facing quantum commercialisation • May allow co-location at specialist facilities • Collaborative projects £4m-£20m (max £10m grant) up to 36 months • Expect to fund 8-10 projects
Investment Accelerator (IA) • £12m in one round used to fund SME projects • Aimed at increasing VC investment into early stage quantum companies • Identify 1-3 VC’s who will ensure that SME project recipients receive at least 4x total grant funding over a 5 year timeframe from investors • 1x grant funding needs to be deployed alongside grant funding • Innovate UK runs open call for projects to be funded by the £12m fund • VC’s agree investment terms with company recipients
Delivery Streams – Scope and Format Delivery Strand Products & Services CR&D) Quantum Technology Development (Tech) Components & Supply Chain (FS) Investment Accelerator Technical Scope Whole of challenge initially – Later tuned to maximise impact and industry co-investment Project Focus End user led products and services Industry technology challenges and co-location Components, supply chain elements VC investment into early stage high growth businesses Lead Applicant Business VC (investor stage), Business (investee stage) No. of participants 2 or more 1 or more n/a RTO/academic participation Max 30% Max 50% n/a Project Size £2m-10m £4m- (max £10m grant) >£500k (<£50k for market assessments) tbd Project Duration 18-36months <36 months <18 months n/a Interview Assessment Stage Yes No Yes for investors Lead Participation Limits Companies can only lead on one project per stream per round Companies can lead on up to 3 projects 1-3 investors to be selected
Total Funding 2019/20 2021/22 2022/23 2023/24 2024/252020/21 2025/26 CR&D CR&D PHASE 3 (WS1.3) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Feasibility Studies FS PHASE 1 (WS2.1) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review FS PHASE 2 (WS2.1) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Tech PHASE 1 (WS3.1) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Technology Projects Tech PHASE 2 (WS3.2) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review IA Investment Accelerator (WS4) Initiation Competition Competition Launch Competition Deadline Contracts Awarded Monitoring £12.5m £24.5m £39m £39m £25m £13m Funding £6m £11m £11m £8m CR&D PHASE 1 (WS1.1) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review £11m £10m £6m Total Cost £27m CR&D PHASE 2 (WS1.2) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review £3m £8m £8m £1m Total Cost £20m Total Cost £36m Total Cost £6m Total Cost £6m Total Cost £30m Total Cost £16m Total Cost £12m £0.5m £3.5m £2m £1m £3m £2m £7m £12m £8m £3m £3m £8m £5m £6m Milestone dates agreed Milestone dates TBC Batch 1 Batch 2 Batch 3
26 Finances By Deliverable UKRI Investment by Strand 19/20 20/21 21/22 22/23 23/24 24/25 Total Quantum Products and Services (CR&D) 14.0 24.0 25.0 12.0 8.0 83.0 Quantum Components and Supply Chain (FS) 0.5 3.5 3.0 3.0 2.0 0.0 12.0 Quantum Technology Development 7.0 12.0 11.0 11.0 5.0 46.0 Investment Accelerator 12 12.0 Total (£m) 12.5 24.5 39 39 25 13 153
Competition Brief - ISCF Commercialising Quantum Technologies Technology Projects Round 1 EOI https://apply-for-innovation-funding.service.gov.uk/competition/490/overview Competition opens Monday 28th October 2019 Competition closes Wednesday 27th November 2019 12pm Phase 2 opens for successful EOI applicants Monday 9th December 2019 Phase 2 closes Wednesday 5th February 2020
Competition Overview We will distribute a share of up to £30 million in grants to UK businesses of any size to collaborate on quantum technology development projects. The aim of this competition is for businesses to lead research and development projects aimed at removing the technical barriers to the commercial or industrial exploitation of quantum technologies in the UK. This is phase 1 of a 2-phase competition and will collect expressions of interest. The second phase will be open to SMEs to successful EOI applicants only.
The Expression of Interest (EOI) Phase This is phase 1 of a potential 2-phase competition Phase 1 is an expression of interest (EoI). No funding will be allocated under stage 1. This EOI stage is a ‘light touch’ process to inspire and collect technology projects and the short application form will be scope/eligibility checked only The decision to proceed with phase 2 depends on the success of phase 1. Only successful applicants in phase 1 will be invited to apply for funding in phase 2, which will include an interview panel.
Scope The aim is to remove technological barriers to speed up the commercialisation of quantum technologies in the UK and increase private sector investment in the research, development and manufacture of the resulting hardware, software and services. You must identify a technological barrier and propose an innovative project that addresses it to the benefit of UK quantum companies. Your project must: • outline the technological barrier’s implications to businesses • describe a credible solution and how it is innovative and competitive • evaluate the value it will add to the UK quantum industry • provide a roadmap of future exploitation
How is this scope different from CR&D/FS First rounds of Quantum ISCF Collaborative R&D and Feasibility Studies competitions close TODAY at noon. How is the technology competition different? CR&D is focused on delivering products and services and FS on components and supply chain. They both tend to have a linear chain from science to completed deliverable. Technology strand is aimed at common technological barriers encountered by a number of UK companies and/or business sectors. The aim is for them to drive a research programme to address these so a range of UK beneficiaries can achieve their commercial goals. They may or may not involve the co-location of research activities
Technical Scope Your project must address at least one of the following: 1. Connectivity: techniques for securing data in storage and in flight. 2. Situational Awareness: Autonomous systems. Sensors and detectors for the built environment, transport and infrastructure. Imaging and sensing “seeing things currently invisible”. 3. Computing: Transformational computers for solving currently intractable problems. We will fund a portfolio of projects, across a variety of technologies, markets, maturities and research categories. The projects must exploit second generation quantum techniques.
Technical Scope Second generation quantum techniques. ‘Second generation quantum technologies are defined as those involving the generation and coherent control of quantum states, resulting in phenomena such as superposition or entanglement. (Technologies involving single photon generation and quantum computing are also regarded as being within scope)’ If in ANY doubt about technical scope then talk to us, either directly or through the Customer Support Service Phone: 0300 321 4357 Email: support@innovateuk.ukri.org
Specific Themes We are particularly encouraging applications that: • focus on maximising UK return from the quantum technology research undertaken by the UK academic base • bring significant new investment and businesses into the UK’s growing quantum technologies sector We are looking to fund a portfolio of projects, across a variety of technologies, markets, technological maturities and research categories.
Competition Details Up to £30m available Project size £4m-20m eligible costs (project NOT grant size)* Maximum grant size of £10m 18-36 months (must start on or before June 2020) Collaborative Up to 30% research organisation participation Industry Led (RTO’s NOT Universities may lead in exceptional circumstances, get our permission first) * If your project’s total eligible costs or duration fall outside of our eligibility criteria, you must provide justification by email to support@innovateuk.ukri.org at least 10 days before the competition closes. We will decide whether to approve your request.
Competition Details Project size £4m-20m eligible costs (project NOT grant size)* Maximum grant size of £10m You may need to claim a percentage of funding that is less than the maximum allowed for your organisation size in order to keep your total grant requested below the limit of £10 million.
Eligible Costs Eligible costs for this competition are defined by Innovate UK standard terms and conditions under GBER article 25 • Funding must go towards project activity • Capital usage but not full capital costs • No buildings or refurbishment
Consortia: Business led and collaborative You don’t have to have the full consortia identified at EOI stage To be eligible for funding you must: • be a UK based business, academic, charity, public sector organisation or research and technology organisation (RTO) • carry out your project work in the UK • intend to exploit the results from the UK • Collaborate with others • The lead organisation must be a business and claim funding through this competition*.* see later for RTO exception Eligibility
The Programme Portfolio: • We are looking to fund a portfolio of projects which: • span the main challenges identified in this competition • involve consortia which bring together partners from across industry • will deliver prototypes that can meet the specifications of end user • We reserve the right to apply a portfolio approach in this competition. • When deciding who will receive funding we will consider how projects target a diversity of technology challenges and proposed solutions Quantum ISCF Challenge Portfolio
Multiple Applications Any one business can only lead on one application but can be a partner in any number of applications. But prepared to flexible at EOI stage only….. • If an RTO is approved to lead on an application they must collaborate with 2 businesses or more and can only lead once. • If and RTO is not the lead on any application, they can collaborate in any number of applications An academic institution can collaborate on any number of applications.
Industry Investment Industry investment and matched funding • Identifying and delivering increased industry investment alongside and dependent on ISCF funding is an important aspect of this programme. • Goes beyond the industry match towards competition projects • Need to forecast industry investment expected to run alongside and required to deliver the funded projects AND investment required to exploit project success • Need to identify the measures (including timings) to be used to monitor and evaluate this additional investment
Failure to exploit If you applied to a previous competition as the lead or sole organisation and were awarded funding by Innovate UK or UK Research and Innovation, but did not make a substantial effort to exploit that award, we will award no more funding to you, in this or any other competition. You will not be able to contest our decision It will be important to evidence the capacity to deliver projects appropriately Resubmissions You can use a resubmission to apply for this competition.
Previous projects Under the terms of Innovate UK funding, you are required to submit an independent accountant’s report (IAR) with your final claim. If you or any organisation in your consortium failed to submit an IAR on a previous project, we will not award funding to you in this or any other competition until we have received the documents. IP Exploitation You should make sure that your participation does not prevent any intellectual property (IP) generated by the project from being exploited in or to the benefit of the UK.
What we are looking for at EOI Stage • Ambitious project proposals to address shared technological barriers to delivering commercial or industrial products and services exploiting quantum technologies by UK businesses • Inspire businesses to work together (and with the technology base) to lead industrial research projects • Use a light touch application process to collect proposals and screen for scope before a full competition process
Building a Successful Consortium/Application Ensure that all of your collaborators are eligible to receive funding from Innovate UK • Need to ask sensitive questions! • Companies need to check with Innovate UK if they are unclear. • Need to eligible to receive state aid
Eligibility for State Aid • Innovate UK is offering funding for this competition under the General Block Exemption Regulation. This is available to eligible UK businesses. • We are unable to grant funding to limited liability companies meeting the condition known as ‘undertakings in difficulty’. • This is where more than half of a company’s subscribed share capital has disappeared as a result of accumulated losses. • This test only applies to companies that are more than 3 years old. • If you have a parent company the test can be performed on your parent or holding company. • When submitting an application you must certify that you are eligible for state aid. If you are unsure, please take legal advice before applying. • Should you be successful, we will apply this test as part of our viability checks before confirming the grant offer. • Further information is available on our website in the general guidance under state aid
Building a Successful Consortium/Application Industry leadership • We are increasingly experienced at determining if a project is genuinely industry led and has full industry commitment • The interview process is especially enlightening • Projects led by project management companies find demonstrating industry led very difficult Consortia as a high-performance team • The way the consortia works together is highly visible at interview • Should try and work together to get experience of roles and responsibility to project a great team vision
EOI and Phase 2 Key Dates Phase 1 (EOI) opens 28th October 2019 Briefing Event 30th October 2019 Phase 1 closes 27th November 2019 12pm noon Phase 2 opens to successful EOI applicants 9th December 2019 Phase 2 closes 5th February 2020 12pm noon Phase 2 interviews w/c 26th Match 2020 Phase 2 applicants notified 6th April 2020
Contacts for further information Chris Jones chris.jones@innovateuk.ukri.org Customer Support Service Phone 0300 321 4357 Email: support@innovateuk.ukri.org
Break
Introduction to Innovate UK and UKRI
We work with the government to invest over £7 billion a year in research and innovation by partnering with academia and industry to make the impossible, possible. Through the UK’s nine leading academic and industrial funding councils, we create knowledge with impact.
Eligibility criteria
Resubmission Not a resubmission A resubmission is: an application Innovate UK judges as not materially different from one you've submitted before (but it can be updated based on the assessors' feedback) A brand new application/project/idea that you have not previously submitted into an Innovate UK competition OR A previously unsuccessful or ineligible application:  has been updated based on assessor feedback  and is materially different from the application submitted before  and fits with the scope of this competition Resubmissions This competition does allow resubmissions.
Project eligibility  Lead must be a UK-based business of any size  RMust be collaborative which can include other businesses, research organisations, RTO, public sector organisation or charities.  You must carry out your project in the UK  Exploit the results from / in the UK  In Exceptional circumstances an RTO can lead but must have approval before applying. Project cost Between £4 million to £20 Million Project length between 18 months to 36 months Eligibility criteria
• Business – Small/Micro, Medium or Large (EU definition) registered in the UK • Research Organisation (RO): • Universities (HEIs) • Non profit distributing Research & Technology Organisation (RTO) including Catapults • Public Sector Research Establishments (PSRE) • Research Council Institutes (RCI) • Public sector organisations and charities doing research activity • Check out the EU definition of a business (it may affect the grant you are able to claim) http://ec.europa.eu/growth/smes/business-friendly-environment/sme-definition_en • If you are 100% owned by a large parent company as a small subsidiary this means by EU rules you are classed as a large company and will only be entitled to the relevant grant Types of organisations we fund
Eligibility for State Aid • Innovate UK is offering funding for this competition under the General Block Exemption Regulation. This is available to eligible UK businesses. • We are unable to grant funding to limited liability companies meeting the condition known as ‘undertakings in difficulty’. • This is where more than half of a company’s subscribed share capital has disappeared as a result of accumulated losses. • This test only applies to companies that are more than 3 years old. • If you have a parent company the test can be performed on your parent or holding company. • When submitting an application you must certify that you are eligible for state aid. If you are unsure, please take legal advice before applying. • Should you be successful, we will apply this test as part of our viability checks before confirming the grant offer. • Further information is available on our website in the general guidance under state aid
State Aid – Article 25 • Funding for R&D projects split in to 3 categories; Feasibility studies, Industrial research & Experimental development. • Applies to almost all sectors of the economy and has a wide range of eligible costs. Pre-approved state aid covers: o Aid for research and development and innovation, o Regional aid o Aid to SMEs in the form of investment aid, operating aid and SMEs access to finance, o Aid for environmental protection, o Training aid, o Recruitment and employment aid for disadvantaged workers or workers with disabilities. o Aid to make good the damage caused by certain natural disasters, o Social aid for transport for residents for remote regions, o Aid for broadband infrastructures, o Aid for culture and heritage conservation, o Aid for sport and multifunctional recreational infrastructures, o Aid for local infrastructure. • Special rules apply to: o Fisheries, agriculture, o Companies in difficulty, o Companies undergoing a state aid recovery order.
• The aim of our State Aid scheme is to: • optimise the level of funding to business and • recognise the importance of research base to project • At least 70% of total eligible project costs must be incurred by business • The maximum level (30% of project costs) is shared by all research organisations in the project Participation Rules
In all collaborative projects there must be: • at least two organisations claiming grant within the application (including the lead) • a business or RTO-led consortium, which may involve both business and the research base and • evidence of effective collaboration • we would expect to see the structure and rationale of the collaboration described in the application. What is collaboration?
Making more than one application • Any one business may be involved in any number of applications to this competition, but can only be the lead partner in one application • Any one research and technology organisation may only be the lead partner in one application. They may collaborate in any number of applications to this competition. • If a research and technology organisation is not the lead on any application, they can be a partner in any number of applications • An Academic partner can collaborate in any number of applications.
Other Innovate UK projects • If you have an outstanding final claim and/or Independent Accountant Report (IAR) on a live Innovate UK project, you will not be eligible to apply for grant funding in this competition, as a lead or a partner organisation. • If you applied to a previous competition as the lead or sole company and were awarded funding by Innovate UK, but did not make a substantial effort to exploit that award, we will award no more funding to you.
Timeline Dates EOI Phase Opens 28th October 2019 Briefing Event 30th October 2019 EOI Submission Deadline 27th November 2019 12pm Phase 2 Opens 9th December 2019 Phase 2 Submission Deadline 5th February 2020 Key Dates
Innovation Funding Service (IFS)
Search for a funding competition and review criteria
Applicant: create an account To create your account: UK based businesses - Use Companies House lookup as it speeds up our checks by providing your company number and your are unable to enter it at a later date Research organisations, academics & Universities - Enter your information manually so you’re not listed as a business on IFS and ensure you receive the correct funding
Project Details • Application Team - Collaborators: Invite organisations who you are working with on the project - Contributors: Invite colleagues from your own organisation to help you complete your application • Application Details - Title, Timescales, Research Category, Innovation Area & Resubmission (y/n) • Project Summary - Short summary and objectives of the project including what is innovative about it • Public Description - Description of your project which will be published if you are successful • Scope - How does your project align with the scope of this competition? - If your project is not in scope, it will be ineligible for funding
Submitting your application
Submit your application early! Be aware of the potential for last minute technical issues!
Customer Support Services: 0300 321 4357 (Mon-Fri, 9am-5:30pm) support@innovateuk.ukri.org Knowledge Transfer Network: www.ktn-uk.co.uk Innovate UK: https://www.gov.uk/government/organisations/innovate-uk Q&A
@InnovateUK Innovate UKInnovate UK

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ISCF Commercialising Quantum Technologies Tech Projects Competition Briefing

  • 1.
    ISCF Comercialising Quantum Technology:Expression of interest Applicant briefing Wednesday 30th October
  • 2.
    1 Welcome andintroductions Quantum Background, Scope 2 Part 1 Eligibility criteria 3 Part 2 The Innovation Funding Service, application finances, academic partners 4 Part 3 Submitting your application, assessment, project setup for successful applicants Agenda
  • 3.
    • Roger McKinlay– Director ISCF Quantum Challenge • Chris Jones – Deputy Director ISCF Quantum Challenge • Lydia Weir-Blankenstein – Portfolio Manager, Competitions Team Welcome and Introductions
  • 4.
  • 5.
    National Quantum TechnologyProgramme Phase 1 Hubs and Capital Training and Skills NPL QMI Dstl Demo UKRI EPSRC Science ~£400M
  • 6.
    Pioneer funding forQuantum A new set of products from medical devices to sensors and safer communication systems may be possible using the emerging physical science known as quantum technology. The potential is huge but still largely in the lab environment. Pioneer funding will bring new disruptive companies together with existing businesses to understand how this emerging technology can be turned into products that will underpin industry in the future. ISCF Wave 2 Quantum Pioneer - £20M funding
  • 7.
    Progress to date- Projects KAIROS Pioneer Gravity 3QN AquaSec Miniature atomic clock Gravity detection for survey Quantum Key Distribution by Satellite Agile Quantum safe Communications. Quantum Key Distribution over Fibre There are 4 ISCF Quantum projects (£6-9m each) which all kicked off in November 2018. Led by Teledyne e2v (UK) Limited Led by RSK Environment Limited Led by ArQit Limited Led by Toshiba Research Europe Limited
  • 8.
    NQTP2 – 2019onwards Hubs NQCC ISCF Other Industry * * Hubs, Training and Skills Including CDTs and studentships
  • 9.
  • 11.
    Industrial Strategy ChallengeFund objectives • Increased UK business investment in R&D and improved R&D capability and capacity • Increased multi- and interdisciplinary research • Increased business-academic engagement on innovation activities • Increased collaboration between younger, smaller companies and larger more established companies, connecting up value chains (or networks) • Increased overseas investment in R&D in the UK
  • 12.
  • 13.
    Theresa May praisesUK sector as she opens London Tech Week By Press Association PUBLISHED: 12:59, 10 June 2019 | UPDATED: 13:00, 10 June 2019 Prime Minister Theresa May has urged the tech industry to work with the Government to ensure Britain remains “one of the best places in the world to start and grow a tech business”. Mrs. May used a speech at the opening of London Tech Week to announce Government investment of more than £150 million in new technology such as quantum computing.
  • 14.
    The Vision Grow theUK’s leadership in Quantum Technologies, delivering transformational products to a global market and removing a range of technological barriers to UK growth in productivity and competitiveness.
  • 15.
    Exploiting Previous Investment EPSRCFunded Science Commercialisation Industrialisation Continued Government Support World Class Research Four Hubs Training and Skills QMI NQCC NPL Programme Dstl Programmes Innovate UK EE and Quantum Programmes ISCF Wave 2 ISCF Wave 3 Other Missions People and IP Facilities, People and IP, Industry-Academic Relationships, Embryonic Supply Chain Innovation centres Mature consortia, demonstrators, early products and services, industry investment, finance, T&E. scale-up. Future Initiatives Quantum Computing Institute Built on NQTP Phase 1 and ISCF Wave 2 Pioneer “The £1B NQTP.”
  • 16.
    HOW MUCH INVESTMENT? ISCFWave 3 £153m Industry matched funding £205m WHY ISCF WAVE 3? System Failures (Market, Coordination, Network.) Investment Risk Maintain Momentum International Competition OBJECTIVES • Products and Service • s 2019/20 2021/22 2022/23 2023/24 2024/252020/21 CR&D Feasibility Studies Technology Projects IA WHAT WILL WE DELIVER? WHAT ARE THE OUTCOMES Increased skills & knowledge Growth in export opportunities New product lines & services Increased R&D investment SME involvement Improved productivity & profitability Summary Sales of Products and Services R&D Investment Focussed Research Academic-Business coordination
  • 17.
    Increased sales ofQT products and services Increased UK business investment in R&D Increased multi- & interdisciplinary research Increased business-academic engagement Objectives
  • 18.
  • 19.
    Quantum Products andServices (CR&D) • Up to £83m over 3 rounds • Industry led • Aimed at delivering new quantum products and services with a focus on the end user and a full supply chain. • Similar to the ISCF W2 Pioneer programme in 2018 but quantum computing IS in scope • Collaborative projects £2m-£10m up to 36 months • Expect to fund ~15 projects
  • 20.
    Feasibility Studies (FS) •£12m over 2 rounds • Industry led • Need an SME to lead or as a partner • Smaller shorter projects, aimed at components and systems integration • Projects <£500k, up to 18 months • Expect to fund ~40 projects
  • 21.
    Industry Investment andMatched Funding An important element in ISCF W3 has been an increased emphasis on industry co-investment • All W3 programmes have ambitious targets for industry matched funding that exceeds that built into competitions • Projects will need to identify non-competition matched funding and co-investment and how this will be measured • This will be an important part of the competition project assessment and monitoring process.
  • 22.
    Technology Projects (Tech) •Up to £46m over 2 rounds • Industry led • Aimed at allowing industry to work together on common technology challenges facing quantum commercialisation • May allow co-location at specialist facilities • Collaborative projects £4m-£20m (max £10m grant) up to 36 months • Expect to fund 8-10 projects
  • 23.
    Investment Accelerator (IA) •£12m in one round used to fund SME projects • Aimed at increasing VC investment into early stage quantum companies • Identify 1-3 VC’s who will ensure that SME project recipients receive at least 4x total grant funding over a 5 year timeframe from investors • 1x grant funding needs to be deployed alongside grant funding • Innovate UK runs open call for projects to be funded by the £12m fund • VC’s agree investment terms with company recipients
  • 24.
    Delivery Streams –Scope and Format Delivery Strand Products & Services CR&D) Quantum Technology Development (Tech) Components & Supply Chain (FS) Investment Accelerator Technical Scope Whole of challenge initially – Later tuned to maximise impact and industry co-investment Project Focus End user led products and services Industry technology challenges and co-location Components, supply chain elements VC investment into early stage high growth businesses Lead Applicant Business VC (investor stage), Business (investee stage) No. of participants 2 or more 1 or more n/a RTO/academic participation Max 30% Max 50% n/a Project Size £2m-10m £4m- (max £10m grant) >£500k (<£50k for market assessments) tbd Project Duration 18-36months <36 months <18 months n/a Interview Assessment Stage Yes No Yes for investors Lead Participation Limits Companies can only lead on one project per stream per round Companies can lead on up to 3 projects 1-3 investors to be selected
  • 25.
    Total Funding 2019/20 2021/222022/23 2023/24 2024/252020/21 2025/26 CR&D CR&D PHASE 3 (WS1.3) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Feasibility Studies FS PHASE 1 (WS2.1) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review FS PHASE 2 (WS2.1) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Tech PHASE 1 (WS3.1) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Technology Projects Tech PHASE 2 (WS3.2) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review IA Investment Accelerator (WS4) Initiation Competition Competition Launch Competition Deadline Contracts Awarded Monitoring £12.5m £24.5m £39m £39m £25m £13m Funding £6m £11m £11m £8m CR&D PHASE 1 (WS1.1) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review £11m £10m £6m Total Cost £27m CR&D PHASE 2 (WS1.2) Initiation Competition Monitoring Competition Launch Submissions Deadline Projects Go Live Annual Review Annual Review Annual Review Close-Out Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review Q1 Review Q2 Review Q3 Review £3m £8m £8m £1m Total Cost £20m Total Cost £36m Total Cost £6m Total Cost £6m Total Cost £30m Total Cost £16m Total Cost £12m £0.5m £3.5m £2m £1m £3m £2m £7m £12m £8m £3m £3m £8m £5m £6m Milestone dates agreed Milestone dates TBC Batch 1 Batch 2 Batch 3
  • 26.
    26 Finances By Deliverable UKRIInvestment by Strand 19/20 20/21 21/22 22/23 23/24 24/25 Total Quantum Products and Services (CR&D) 14.0 24.0 25.0 12.0 8.0 83.0 Quantum Components and Supply Chain (FS) 0.5 3.5 3.0 3.0 2.0 0.0 12.0 Quantum Technology Development 7.0 12.0 11.0 11.0 5.0 46.0 Investment Accelerator 12 12.0 Total (£m) 12.5 24.5 39 39 25 13 153
  • 27.
    Competition Brief -ISCF Commercialising Quantum Technologies Technology Projects Round 1 EOI https://apply-for-innovation-funding.service.gov.uk/competition/490/overview Competition opens Monday 28th October 2019 Competition closes Wednesday 27th November 2019 12pm Phase 2 opens for successful EOI applicants Monday 9th December 2019 Phase 2 closes Wednesday 5th February 2020
  • 28.
    Competition Overview We willdistribute a share of up to £30 million in grants to UK businesses of any size to collaborate on quantum technology development projects. The aim of this competition is for businesses to lead research and development projects aimed at removing the technical barriers to the commercial or industrial exploitation of quantum technologies in the UK. This is phase 1 of a 2-phase competition and will collect expressions of interest. The second phase will be open to SMEs to successful EOI applicants only.
  • 29.
    The Expression ofInterest (EOI) Phase This is phase 1 of a potential 2-phase competition Phase 1 is an expression of interest (EoI). No funding will be allocated under stage 1. This EOI stage is a ‘light touch’ process to inspire and collect technology projects and the short application form will be scope/eligibility checked only The decision to proceed with phase 2 depends on the success of phase 1. Only successful applicants in phase 1 will be invited to apply for funding in phase 2, which will include an interview panel.
  • 30.
    Scope The aim isto remove technological barriers to speed up the commercialisation of quantum technologies in the UK and increase private sector investment in the research, development and manufacture of the resulting hardware, software and services. You must identify a technological barrier and propose an innovative project that addresses it to the benefit of UK quantum companies. Your project must: • outline the technological barrier’s implications to businesses • describe a credible solution and how it is innovative and competitive • evaluate the value it will add to the UK quantum industry • provide a roadmap of future exploitation
  • 31.
    How is thisscope different from CR&D/FS First rounds of Quantum ISCF Collaborative R&D and Feasibility Studies competitions close TODAY at noon. How is the technology competition different? CR&D is focused on delivering products and services and FS on components and supply chain. They both tend to have a linear chain from science to completed deliverable. Technology strand is aimed at common technological barriers encountered by a number of UK companies and/or business sectors. The aim is for them to drive a research programme to address these so a range of UK beneficiaries can achieve their commercial goals. They may or may not involve the co-location of research activities
  • 32.
    Technical Scope Your projectmust address at least one of the following: 1. Connectivity: techniques for securing data in storage and in flight. 2. Situational Awareness: Autonomous systems. Sensors and detectors for the built environment, transport and infrastructure. Imaging and sensing “seeing things currently invisible”. 3. Computing: Transformational computers for solving currently intractable problems. We will fund a portfolio of projects, across a variety of technologies, markets, maturities and research categories. The projects must exploit second generation quantum techniques.
  • 33.
    Technical Scope Second generationquantum techniques. ‘Second generation quantum technologies are defined as those involving the generation and coherent control of quantum states, resulting in phenomena such as superposition or entanglement. (Technologies involving single photon generation and quantum computing are also regarded as being within scope)’ If in ANY doubt about technical scope then talk to us, either directly or through the Customer Support Service Phone: 0300 321 4357 Email: support@innovateuk.ukri.org
  • 34.
    Specific Themes We areparticularly encouraging applications that: • focus on maximising UK return from the quantum technology research undertaken by the UK academic base • bring significant new investment and businesses into the UK’s growing quantum technologies sector We are looking to fund a portfolio of projects, across a variety of technologies, markets, technological maturities and research categories.
  • 35.
    Competition Details Up to£30m available Project size £4m-20m eligible costs (project NOT grant size)* Maximum grant size of £10m 18-36 months (must start on or before June 2020) Collaborative Up to 30% research organisation participation Industry Led (RTO’s NOT Universities may lead in exceptional circumstances, get our permission first) * If your project’s total eligible costs or duration fall outside of our eligibility criteria, you must provide justification by email to support@innovateuk.ukri.org at least 10 days before the competition closes. We will decide whether to approve your request.
  • 36.
    Competition Details Project size£4m-20m eligible costs (project NOT grant size)* Maximum grant size of £10m You may need to claim a percentage of funding that is less than the maximum allowed for your organisation size in order to keep your total grant requested below the limit of £10 million.
  • 37.
    Eligible Costs Eligible costsfor this competition are defined by Innovate UK standard terms and conditions under GBER article 25 • Funding must go towards project activity • Capital usage but not full capital costs • No buildings or refurbishment
  • 39.
    Consortia: Business ledand collaborative You don’t have to have the full consortia identified at EOI stage To be eligible for funding you must: • be a UK based business, academic, charity, public sector organisation or research and technology organisation (RTO) • carry out your project work in the UK • intend to exploit the results from the UK • Collaborate with others • The lead organisation must be a business and claim funding through this competition*.* see later for RTO exception Eligibility
  • 40.
    The Programme Portfolio: •We are looking to fund a portfolio of projects which: • span the main challenges identified in this competition • involve consortia which bring together partners from across industry • will deliver prototypes that can meet the specifications of end user • We reserve the right to apply a portfolio approach in this competition. • When deciding who will receive funding we will consider how projects target a diversity of technology challenges and proposed solutions Quantum ISCF Challenge Portfolio
  • 41.
    Multiple Applications Any onebusiness can only lead on one application but can be a partner in any number of applications. But prepared to flexible at EOI stage only….. • If an RTO is approved to lead on an application they must collaborate with 2 businesses or more and can only lead once. • If and RTO is not the lead on any application, they can collaborate in any number of applications An academic institution can collaborate on any number of applications.
  • 42.
    Industry Investment Industry investmentand matched funding • Identifying and delivering increased industry investment alongside and dependent on ISCF funding is an important aspect of this programme. • Goes beyond the industry match towards competition projects • Need to forecast industry investment expected to run alongside and required to deliver the funded projects AND investment required to exploit project success • Need to identify the measures (including timings) to be used to monitor and evaluate this additional investment
  • 43.
    Failure to exploit Ifyou applied to a previous competition as the lead or sole organisation and were awarded funding by Innovate UK or UK Research and Innovation, but did not make a substantial effort to exploit that award, we will award no more funding to you, in this or any other competition. You will not be able to contest our decision It will be important to evidence the capacity to deliver projects appropriately Resubmissions You can use a resubmission to apply for this competition.
  • 44.
    Previous projects Under theterms of Innovate UK funding, you are required to submit an independent accountant’s report (IAR) with your final claim. If you or any organisation in your consortium failed to submit an IAR on a previous project, we will not award funding to you in this or any other competition until we have received the documents. IP Exploitation You should make sure that your participation does not prevent any intellectual property (IP) generated by the project from being exploited in or to the benefit of the UK.
  • 45.
    What we arelooking for at EOI Stage • Ambitious project proposals to address shared technological barriers to delivering commercial or industrial products and services exploiting quantum technologies by UK businesses • Inspire businesses to work together (and with the technology base) to lead industrial research projects • Use a light touch application process to collect proposals and screen for scope before a full competition process
  • 46.
    Building a SuccessfulConsortium/Application Ensure that all of your collaborators are eligible to receive funding from Innovate UK • Need to ask sensitive questions! • Companies need to check with Innovate UK if they are unclear. • Need to eligible to receive state aid
  • 47.
    Eligibility for StateAid • Innovate UK is offering funding for this competition under the General Block Exemption Regulation. This is available to eligible UK businesses. • We are unable to grant funding to limited liability companies meeting the condition known as ‘undertakings in difficulty’. • This is where more than half of a company’s subscribed share capital has disappeared as a result of accumulated losses. • This test only applies to companies that are more than 3 years old. • If you have a parent company the test can be performed on your parent or holding company. • When submitting an application you must certify that you are eligible for state aid. If you are unsure, please take legal advice before applying. • Should you be successful, we will apply this test as part of our viability checks before confirming the grant offer. • Further information is available on our website in the general guidance under state aid
  • 48.
    Building a SuccessfulConsortium/Application Industry leadership • We are increasingly experienced at determining if a project is genuinely industry led and has full industry commitment • The interview process is especially enlightening • Projects led by project management companies find demonstrating industry led very difficult Consortia as a high-performance team • The way the consortia works together is highly visible at interview • Should try and work together to get experience of roles and responsibility to project a great team vision
  • 49.
    EOI and Phase2 Key Dates Phase 1 (EOI) opens 28th October 2019 Briefing Event 30th October 2019 Phase 1 closes 27th November 2019 12pm noon Phase 2 opens to successful EOI applicants 9th December 2019 Phase 2 closes 5th February 2020 12pm noon Phase 2 interviews w/c 26th Match 2020 Phase 2 applicants notified 6th April 2020
  • 50.
    Contacts for furtherinformation Chris Jones chris.jones@innovateuk.ukri.org Customer Support Service Phone 0300 321 4357 Email: support@innovateuk.ukri.org
  • 51.
  • 52.
  • 53.
    We work withthe government to invest over £7 billion a year in research and innovation by partnering with academia and industry to make the impossible, possible. Through the UK’s nine leading academic and industrial funding councils, we create knowledge with impact.
  • 54.
  • 55.
    Resubmission Not aresubmission A resubmission is: an application Innovate UK judges as not materially different from one you've submitted before (but it can be updated based on the assessors' feedback) A brand new application/project/idea that you have not previously submitted into an Innovate UK competition OR A previously unsuccessful or ineligible application:  has been updated based on assessor feedback  and is materially different from the application submitted before  and fits with the scope of this competition Resubmissions This competition does allow resubmissions.
  • 56.
    Project eligibility  Leadmust be a UK-based business of any size  RMust be collaborative which can include other businesses, research organisations, RTO, public sector organisation or charities.  You must carry out your project in the UK  Exploit the results from / in the UK  In Exceptional circumstances an RTO can lead but must have approval before applying. Project cost Between £4 million to £20 Million Project length between 18 months to 36 months Eligibility criteria
  • 57.
    • Business –Small/Micro, Medium or Large (EU definition) registered in the UK • Research Organisation (RO): • Universities (HEIs) • Non profit distributing Research & Technology Organisation (RTO) including Catapults • Public Sector Research Establishments (PSRE) • Research Council Institutes (RCI) • Public sector organisations and charities doing research activity • Check out the EU definition of a business (it may affect the grant you are able to claim) http://ec.europa.eu/growth/smes/business-friendly-environment/sme-definition_en • If you are 100% owned by a large parent company as a small subsidiary this means by EU rules you are classed as a large company and will only be entitled to the relevant grant Types of organisations we fund
  • 58.
    Eligibility for StateAid • Innovate UK is offering funding for this competition under the General Block Exemption Regulation. This is available to eligible UK businesses. • We are unable to grant funding to limited liability companies meeting the condition known as ‘undertakings in difficulty’. • This is where more than half of a company’s subscribed share capital has disappeared as a result of accumulated losses. • This test only applies to companies that are more than 3 years old. • If you have a parent company the test can be performed on your parent or holding company. • When submitting an application you must certify that you are eligible for state aid. If you are unsure, please take legal advice before applying. • Should you be successful, we will apply this test as part of our viability checks before confirming the grant offer. • Further information is available on our website in the general guidance under state aid
  • 59.
    State Aid –Article 25 • Funding for R&D projects split in to 3 categories; Feasibility studies, Industrial research & Experimental development. • Applies to almost all sectors of the economy and has a wide range of eligible costs. Pre-approved state aid covers: o Aid for research and development and innovation, o Regional aid o Aid to SMEs in the form of investment aid, operating aid and SMEs access to finance, o Aid for environmental protection, o Training aid, o Recruitment and employment aid for disadvantaged workers or workers with disabilities. o Aid to make good the damage caused by certain natural disasters, o Social aid for transport for residents for remote regions, o Aid for broadband infrastructures, o Aid for culture and heritage conservation, o Aid for sport and multifunctional recreational infrastructures, o Aid for local infrastructure. • Special rules apply to: o Fisheries, agriculture, o Companies in difficulty, o Companies undergoing a state aid recovery order.
  • 60.
    • The aimof our State Aid scheme is to: • optimise the level of funding to business and • recognise the importance of research base to project • At least 70% of total eligible project costs must be incurred by business • The maximum level (30% of project costs) is shared by all research organisations in the project Participation Rules
  • 61.
    In all collaborativeprojects there must be: • at least two organisations claiming grant within the application (including the lead) • a business or RTO-led consortium, which may involve both business and the research base and • evidence of effective collaboration • we would expect to see the structure and rationale of the collaboration described in the application. What is collaboration?
  • 62.
    Making more thanone application • Any one business may be involved in any number of applications to this competition, but can only be the lead partner in one application • Any one research and technology organisation may only be the lead partner in one application. They may collaborate in any number of applications to this competition. • If a research and technology organisation is not the lead on any application, they can be a partner in any number of applications • An Academic partner can collaborate in any number of applications.
  • 63.
    Other Innovate UKprojects • If you have an outstanding final claim and/or Independent Accountant Report (IAR) on a live Innovate UK project, you will not be eligible to apply for grant funding in this competition, as a lead or a partner organisation. • If you applied to a previous competition as the lead or sole company and were awarded funding by Innovate UK, but did not make a substantial effort to exploit that award, we will award no more funding to you.
  • 64.
    Timeline Dates EOI PhaseOpens 28th October 2019 Briefing Event 30th October 2019 EOI Submission Deadline 27th November 2019 12pm Phase 2 Opens 9th December 2019 Phase 2 Submission Deadline 5th February 2020 Key Dates
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  • 66.
    Search for afunding competition and review criteria
  • 67.
    Applicant: create anaccount To create your account: UK based businesses - Use Companies House lookup as it speeds up our checks by providing your company number and your are unable to enter it at a later date Research organisations, academics & Universities - Enter your information manually so you’re not listed as a business on IFS and ensure you receive the correct funding
  • 68.
    Project Details • ApplicationTeam - Collaborators: Invite organisations who you are working with on the project - Contributors: Invite colleagues from your own organisation to help you complete your application • Application Details - Title, Timescales, Research Category, Innovation Area & Resubmission (y/n) • Project Summary - Short summary and objectives of the project including what is innovative about it • Public Description - Description of your project which will be published if you are successful • Scope - How does your project align with the scope of this competition? - If your project is not in scope, it will be ineligible for funding
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  • 70.
    Submit your applicationearly! Be aware of the potential for last minute technical issues!
  • 71.
    Customer Support Services: 0300321 4357 (Mon-Fri, 9am-5:30pm) support@innovateuk.ukri.org Knowledge Transfer Network: www.ktn-uk.co.uk Innovate UK: https://www.gov.uk/government/organisations/innovate-uk Q&A
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