Grants for equipment to enable innovation in small businesses in York, North Yorkshire and East Riding

Leeds City Region project

We launched a PAPI project in the Leeds City Region in November 2018. The project provides grants for equipment that enables innovation through new product development. A grant of 40% is available on project spend of between £20k - £50k, which equates to a grant of between £8k - £20k (project spend can exceed £50k but grant funding is capped at £20k). Find out below how to apply. 


Applications are made via an initial Expression of Interest form which gives an initial overview of your project. These are reviewed by the project team for eligibility, and if accepted are developed into a full application.

Expressions of Interest are welcome at any time and should be submitted by email to

We currently have 58 grants to give away.

Any data provided is held in line with both our departmental privacy notice and the ERDF privacy notice.


Your project must be about new product development and generate at least one new job.

The business needs to be based in the Leeds City Region, which covers the following districts: Craven, Harrogate, York, Selby, Leeds, Bradford, Calderdale, Kirklees, Wakefield. (You can check which district council your businesses is in by entering the business postcode here.)

The business needs to be a Small or Medium-sized Enterprise (SME):

  • Turnover of less than €50 million or balance sheet total of less than €43 million
  • Less than 250 employees

The business needs to be engaged with one of the following sectors:

  • Bioscience and low carbon
  • Food and drink
  • Health and life sciences
  • Digital and creative media
  • Electronics
  • Advanced manufacturing

All purchased equipment must remain located in the Leeds City Region so as to contribute to the regional economy.

PAPI grant funding is provided in arrears and cannot support activity that has already taken place.

Projects/businesses that cannot be supported

We are unable to support the development or purchase of buildings, as this is specifically excluded by our Funder. This is because it is almost impossible to show that a building will be used solely for the project activity, for its entire lifetime (which could easily be 25 years in the case of a building).

Similarly, general office equipment, software and consumables are ineligible for funding as they may not be used 100% on project activity. However, where such items are dedicated to the project activity (100% used for their entire lifetime) they may be considered.

Mobile assets, such as vehicles, are not considered eligible as they can easily be used outside of the region.

PAPI cannot provide financial support for renewable energy installations such as solar PV and biomass boilers because they are supported through the Government's Feed In Tariff and the Renewable Heat Incentive subsidy scheme.

PAPI grant funding cannot be provided where a company is in financial difficulty and there is a reasonable expectation that it may cease to trade (known as "financial distress").

Sole traders who do not have the intention of registering for VAT are not eligible to apply.