Match Funding
Match funding is a grant condition requiring the recipient to contribute a proportion of the total project cost from non-grant sources, such as earned income, private investment, or in-kind contributions. Common ratios are 1:1 (the applicant matches the grant pound for pound) or 2:1. Match funding demonstrates financial commitment from the applicant and extends the reach of public grant funding.
Match funding requirements vary widely by funder. The UK Shared Prosperity Fund typically requires 25–50% match, while some Innovate UK programmes require no match from SMEs. Match can come from cash (including other grants, provided this is permitted), loans, private investment, or in-kind contributions such as staff time or donated equipment, which must be valued at cost or fair market rate. EU-funded programmes (now replaced by UK successor funds) generally prohibited using one EU grant to match another. Applicants must evidence their match at application stage and maintain records throughout the project period. Failure to deliver committed match can result in clawback of grant funding. Funders usually require the match to be spent on the same eligible activities as the grant and within the same project period.