European Union Research and Development Grant (R&D)

About the Program

The European Union (EU) offers funding for research and innovation through its flagship program, Horizon Europe (2021–2027), which replaced the previous Horizon 2020 program. Horizon Europe is the EU's largest ever R&D funding program with a budget of approximately €95.5 billion.

The aim of the program is to strengthen the EU's scientific and technological base, foster innovation, and tackle climate change, advancing the UN's Sustainable Development Goals.

Important note for Australian businesses: Horizon Europe is primarily open to entities established in EU member states or Horizon-associated countries. However, Australia has signed an association agreement with Horizon Europe, which means Australian entities may be eligible to participate as partners in certain Horizon Europe calls. Eligibility varies by specific call — check the official EU Funding & Tenders portal for each opportunity.

Horizon Europe Key Pillars

Horizon Europe is structured across three main pillars:

Pillar 1 – Excellent Science: Supports frontier research through the European Research Council (ERC) and Marie Skłodowska-Curie Actions
Pillar 2 – Global Challenges and European Industrial Competitiveness: Addresses societal challenges in health, culture, digital, industry, space, climate, energy, mobility, food and bioeconomy
Pillar 3 – Innovative Europe: Supports breakthrough innovation via the European Innovation Council (EIC), European Innovation Ecosystems, and the European Institute of Innovation and Technology (EIT)

EIC Accelerator (Formerly SME Instrument)

The European Innovation Council (EIC) Accelerator provides blended finance (grants + equity investment) for innovative SMEs and startups looking to scale. Funding can reach up to €17.5 million per project (grant component up to €2.5 million).

Are You Eligible?

To be eligible as an Australian entity:

You must check whether the specific Horizon Europe call is open to entities from Australia (some calls are restricted to EU/associated countries only)
Australian entities are typically eligible to participate as consortium partners in collaborative research projects
Individual Australian SMEs may apply to certain EIC calls where third-country participation is explicitly allowed

Eligible Activities

Projects eligible for R&D funding under Horizon Europe may include:

Basic and applied research
Technology development and integration
Prototype development and small-scale testing
Large-scale piloting and market replication
First commercial deployment of breakthrough innovation

How KP Retail Can Help

Navigating EU funding can be complex. KP Retail can help assess whether a specific Horizon Europe opportunity is relevant to your business and help you connect with the right EU partners and advisors. Get in touch to learn more.

European Union Research and Development Grant (R&D)