The government has earmarked nearly £1.1m through the Freight Innovation Fund to help nine small and medium-sized firms run live trials across roads, ports and rail. Each company can access up to £130,000, with Connected Places Catapult convening industry partners and shaping the evaluation. For a sector squeezed by costs, labour availability and decarbonisation targets, this is money aimed squarely at commercial trials rather than blue‑sky R&D.

Technologies heading into the field include lightweight, racing-inspired aerodynamic trailers, wellbeing sensors to monitor stress and fatigue among port staff, and electric cargo trailers that can be pulled by bikes for dense urban routes. Crucially, these pilots happen with real operators, producing operational data that determines whether innovations move from demo days to purchase orders.

For SMEs, the appeal is straightforward: the funding de-risks the most expensive phase-integrating in live operations-and the Catapult’s support helps set clear KPIs while opening doors to established logistics partners. If pilots hit agreed targets, procurement cycles shorten and sales conversations get simpler.

There’s a track record to point to. Connected Places Catapult reports that since 2023 the Freight Innovation Fund Accelerator has supported 29 companies with £3.9m, with 27 completing real-world trials. Those firms have collectively raised over £100m and created 44 jobs-modest at a national level, but often decisive for a growing team hiring engineers, data analysts or a first commercial lead.

Ministers frame this as practical industrial policy. Aviation, Maritime and Decarbonisation Minister Keir Mather said the funding enables immediate testing on roads, ports and railways so successful ideas can start contributing to growth. The focus is on turning prototypes into productivity improvements rather than announcements that never reach the yard.

The pipeline matters. Early-stage ideas can start under the Transport Research and Innovation Grants scheme, then progress into the Freight Innovation Fund for real-world testing once they’re ready. Government also trails a new freight plan for 2026, signalling intent to build a more efficient, resilient system aligned with net zero and stronger supply chains.

The cohort’s themes align with operator priorities we hear repeatedly: lower energy and maintenance costs, safer shifts, and last‑mile options that don’t add congestion. Aerodynamic, lightweight designs speak to fuel and range; wellbeing tech supports retention in tight labour markets; and e‑trailers provide a compact tool for city centres where vans struggle.

A recent case study shows the route to revenue. Ensemble Analytics refined its Athena workforce management platform alongside teams at Associated British Ports and The Bristol Port Company under the fund. Both ports have since moved to commercial contracts, and the company has secured further partnerships in the UK and overseas-evidence that a well-run trial can convert into recurring income.

For SMEs eyeing similar programmes, two questions usually decide adoption: can you demonstrate a payback within a budgeting cycle, and can you integrate with minimal operational friction? Pilots should track decision‑ready metrics such as turnaround times at the gate, trailer utilisation, energy use per drop and incident rates so operators can compare before and after without lengthy analysis.

What to watch now is execution. As the fourth cohort, these nine projects will run in live environments over the coming months with Catapult support and industry partners. If results mirror earlier rounds, expect several to convert into commercial deals and fresh investment well before the government’s 2026 freight plan lands.