Pathways to Work Innovation Fund 2026: UK Grants for New Disability Employment Support

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Pathways to Work Innovation Fund 2026: UK Grants for New Disability Employment Support

The Pathways to Work Innovation Fund is a UK-wide Department for Work and Pensions (DWP) grant programme for organisations with practical new ideas to improve employment support for disabled people and people with long-term health conditions. The first application round is open, with submissions due by 26 October 2026. It is designed to test approaches that help people move towards work, enter work, remain in work or make progress in their jobs, while collecting useful evidence about what works and for whom.

This opportunity is particularly relevant to organisations that can bring disabled people and people with health conditions into the design and delivery of a project, and can explain how the approach differs from existing services. The fund is not a general operating grant. Applicants should describe a defined innovation, the people it is intended to help, the activities required to test it, and a proportionate plan to learn from the results. DWP says the overall fund will invest up to £60 million over two years. Up to £10 million is available in the first round; the applicant bid pack does not set a minimum or maximum grant per project.

Key details

What the fund supports

The fund seeks proposals that can improve one or more employment outcomes: moving towards work, entering work, staying in work or progressing in work. An idea can address a single outcome or connect several stages. For example, a project might test a new way for a person to move from health support into a job search, or examine what helps an employee retain work when a long-term condition changes. The application should identify the specific result it intends to influence rather than treating “employment support” as a result by itself.

DWP defines innovation broadly. It may mean a new use of technology; a new service, product, intervention or delivery model; a partnership that joins up support; an approach that helps employers support disabled staff; or a proven intervention adapted to a materially different setting, labour market or group. The fund recognises that experiments carry uncertainty. A project can still be valuable if an approach does not work as hoped, provided it is well designed and produces evidence that can improve future support.

The difference from routine service funding matters. Simply continuing an existing programme, extending its reach without a significant learning opportunity, or making a minor adjustment is unlikely to meet the call. Applicants should state what is new or significantly different, explain why the current approach leaves a gap, and identify what the test can establish that is not already known. Projects should have potential for adoption, replication or scaling where appropriate, but applicants should not claim that a local pilot is ready for national rollout unless the evidence supports that conclusion.

Who can apply and who the project should serve

The lead applicant must be an organisation based and legally established in the UK. The bid pack welcomes charities and voluntary organisations, social enterprises and Community Interest Companies, private businesses, academic and research organisations, eligible public sector organisations, and partnerships or consortia. Public authorities, including local and mayoral strategic authorities, may apply. Central UK government departments are not eligible as applicants according to the FAQ.

An individual with an idea cannot apply alone. Individuals can take part through a partnership led by an eligible organisation. For a consortium, one lead organisation submits the application, manages the grant and handles funder correspondence. Every partner must meet the relevant eligibility requirements. The lead should agree responsibilities, decision-making, information sharing, cost allocation and delivery dependencies with partners before submission. A collaboration is most persuasive when each partner has a clear role that is needed to reach participants, provide expertise, deliver the intervention or learn from it.

The participants the project is intended to benefit must be disabled people or people with long-term health conditions. A sound application explains which people it will work with and why the proposed support is relevant to their circumstances. Avoid treating these groups as uniform. The bid pack asks applicants to show that accessibility, inclusion and user needs have shaped the proposal. That means explaining how participants will be able to engage, how their feedback will influence the test, and what barriers the project is designed to address.

DWP will also assess organisational suitability and may conduct due diligence, including a Spotlight check. Applicants should be ready to show that appropriate governance, safeguarding, data protection, ethics, fraud prevention and conflict management arrangements are in place for the planned work and public funding. The specific evidence requested can depend on the project and due diligence process, so use the bid pack and respond promptly to requests through the portal.

What funding can pay for

There is no per-project minimum or maximum. DWP encourages applicants to request what is required for a credible project rather than choosing an amount because it seems more competitive. The applicant bid pack says project delivery must take place within 12 months after the Grant Funding Agreement is signed, and funding is available through the end of March 2028. Build the schedule around those limits and confirm the final start date and grant conditions during award discussions.

Eligible costs can include developing and deploying technology, equipment or AI solutions; designing and testing a new intervention; piloting a service, product or tool; user research and co-design; project delivery; directly related staff, volunteer and participant costs; monitoring and evaluation; specialist support; and partnership work. Each cost must be directly related to the funded project, represent value for money, occur within the funded period and be clearly explained. Routine business-as-usual expenses should not be presented as innovation costs.

The programme’s payment approach affects cash planning. The bid pack says grant payments are made in arrears through a claims process, after an agreed milestone is completed and the required evidence is supplied. A mobilisation payment may be requested where justified, and the FAQ states that asking for one will not disadvantage an application. Still, explain why it is needed and how it supports the project. Organisations should assess whether they can manage delivery and cash flow between approved claims, particularly if staff or partners need to be paid before reimbursement.

How to apply and what to prepare

Applications may be submitted from 28 September through 26 October 2026. The applicant bid pack says an online application portal is expected to be the standard route, while paper and email submission options are available for applicants who need them. The portal was due to launch in early October; check the official fund page for its live link and any updated submission instructions before sending materials. Do not assume that downloading a form alone counts as submission.

Prepare the application form together with two required supporting templates:

• Milestones and delivery template: a concise account of how the proposal will be delivered, the important milestones and how progress will be monitored.
• Budget template: a clear breakdown of the requested funding and how it will support testing, development, implementation or evaluation.

The bid pack recommends reading the full guidance before starting. Draft the application around the fund’s decision questions: what problem exists, who experiences it, what is different about the proposed approach, what outcomes are expected, what evidence will be collected, and why the costs are proportionate. If working in a partnership, make sure the lead applicant and partners agree the delivery model and responsibilities before the lead submits. Allow time for internal sign-off, accessibility review, budget reconciliation and portal completion.

The published first-round timetable includes shortlisting outcomes shared on 9 November 2026. Shortlisted applicants may be invited to one-to-one refinement sessions from 16 to 27 November, with refined submissions open from 27 November to 4 December. Award decisions are expected from January 2027, and mobilisation may begin from February 2027 after grant agreements are finalised. These stages mean the initial submission should be a credible project plan, while also leaving room to respond to feedback if shortlisted.

How proposals are assessed

DWP says it will consider how innovative a proposal is, whether it is likely to improve outcomes, the value of the learning, the potential for scale or wider use, the funding required and value for money. The assessment is therefore about the strength of the test as well as the promise of the idea. A clear application helps assessors see the chain from the identified barrier to the activity, the expected change and the evidence that will show whether change occurred.

Strong bids explain the challenge with evidence, describe the intended beneficiaries, and show how accessibility and user needs informed the design. They set realistic outcomes and milestones, demonstrate the skills and partnerships needed for delivery, define what will be learned, and present a clear budget. A useful proposal distinguishes outputs (such as sessions delivered or tools built) from outcomes (such as improved access to work or job retention). It also makes clear how the team will know what happened and which learning can be shared.

The fund’s purpose is not to demand certainty about an untested intervention. Rather, the proposal should be disciplined about uncertainty: identify assumptions, explain what the project will test, and plan for useful learning even if the initial hypothesis is not supported. Where possible, define baseline information, participant feedback, delivery data and follow-up measures that are feasible within the project period. Avoid claiming causal impact if the design cannot establish it. A credible account of limits and learning is stronger than an unsupported promise of transformation.

Preparing a competitive project plan

Start with a concise description of the people and the barrier. Be specific enough to guide service design, but use only information that is necessary and appropriate to understand the problem. Explain how you know the barrier matters, drawing on relevant local or organisational evidence, research, service data or structured input from people with lived experience. If evidence is limited, say what the project will learn rather than implying that a small pilot will prove more than it can.

Next, describe the innovation in operational terms. What will participants experience that they do not experience now? Which part of the current system will change? Why could this make a difference? If the proposal adapts an existing model, explain what is being transferred and why the new context or target group makes the test meaningfully different. If technology is central, focus on its role in the participant or employer journey, the implementation conditions, accessibility and the risk controls needed. A technology label alone does not establish innovation.

Use co-design and accessibility as part of the method, not as late-stage additions. State when and how participants will influence the design, how adjustments will be made, and how the team will hear from people who may not be reached through standard routes. For employer-facing interventions, explain how employers will participate and what practical change they are being asked to make. For cross-sector projects, show how health, employment, skills and community partners coordinate around participants without creating unnecessary handoffs.

Build a proportionate delivery and learning plan. Each milestone should represent a meaningful piece of work, have a realistic date and show how completion will be evidenced. Link budget lines to the activities and milestones they enable. Include necessary delivery and evaluation effort, but keep measures feasible for a project lasting up to 12 months. Explain what will be reported, to whom, and how the findings could inform future services. A brief explanation of how lessons might transfer to other places or groups can support the fund’s wider learning aim, while acknowledging what would need further testing.

Common mistakes to avoid

The clearest risk is describing routine expansion as innovation. If a service already exists, identify the material change and the learning opportunity. “We will support more people” is not enough on its own; explain what is different in the intervention, setting, partnership or target group and what the project will help determine.

Other weaknesses include vague beneficiary descriptions, outcomes that cannot be measured, timelines that assume immediate recruitment or delivery, and budgets that are detached from milestones. Do not list impressive activity without showing its relevance to employment outcomes. Avoid relying on broad claims about unmet need when more specific evidence or participant input can be provided. If you use acronyms or technical terms, explain them in plain language so a reader outside your specialism can assess the proposal.

A weak evidence plan can make a promising idea difficult to assess. State what information will be collected, when, and how it will answer the project’s questions. Keep the measurement burden proportionate and consider participant privacy and accessibility. Don’t promise national scalability based only on a local test; explain what would have to be true for wider adoption and what evidence this first project can provide.

Finally, check eligibility and public-funding readiness early. Partnerships do not remove the requirement for eligible partners, and individuals cannot submit alone. Reconcile the application and budget, confirm that all requested costs fall within the delivery period, and ensure the lead can manage claims in arrears. Submit through the current official route before the deadline and retain a copy of the application and supporting documents.

Frequently asked questions

Can an individual apply directly?

No. Individuals may contribute as part of a partnership, but an eligible organisation must lead the application.

Is there a maximum grant amount?

No per-project minimum or maximum is set in the bid pack. Up to £10 million is available across the first round, within an overall fund of up to £60 million over two years. Request the amount needed for the project and justify it against activities, milestones and expected learning.

Can an existing service be funded?

Potentially, if the proposal demonstrates a significantly different approach or expects different outcomes and creates a meaningful learning opportunity. Simply continuing or expanding an existing service without such a change is unlikely to fit.

Must a project guarantee positive results?

No. The fund acknowledges that innovation involves uncertainty. The proposal should nevertheless specify the intended outcomes, the learning questions, how evidence will be collected and how findings will be useful if the approach does not work as expected.

What happens after the first application?

Applications are shortlisted in October and outcomes are expected to be shared on 9 November 2026. Shortlisted applicants can receive feedback and join refinement sessions in November, then submit a refined application by 4 December. Award decisions are expected from January 2027.

How are grant payments made?

The bid pack describes payments in arrears against agreed milestones, once the milestone has been completed and evidence provided. Applicants can request a mobilisation payment and should explain the need for it.

Official links and next steps

Read the DWP applicant bid pack first. It contains the scheme criteria, applicant journey, milestone and budget templates, and detailed guidance. Check the official fund publication and FAQ for current portal instructions, accessible formats and answers on eligibility, costs, assessment and awards. The Department’s contact email for the fund is [email protected].

Before applying, confirm that the lead organisation is eligible, the project is genuinely new or significantly different, participants’ needs shape the approach, and the planned work fits the delivery period. Then build a realistic budget and milestone plan, agree partnership roles, prepare the required documents, and submit by 26 October 2026 using the route currently specified on the official DWP page.