Combined authority spearheads £20m innovation cash bid

Lancashire is bidding for up to £20m of government funding to underpin activity around defence, security and critical national infrastructure.

The plan to apply for a share of the £500m national Local Innovation Partnership Fund (LIPF) has been endorsed by the new Lancashire Combined County Authority (LCCA).

The bid is due to be submitted by next month and if successful it will support projects over a three-to-four-year lifespan, starting in summer 2026.

A steering group has been established by the Lancashire Innovation Board to lead the bid process.

It includes representatives from all five universities with a footprint in Lancashire and large prime businesses such as defence giant BAE Systems and Westinghouse, which operates the Springfields nuclear fuel production facility near Preston.

Small and medium sized supply-chain businesses are also involved in the steering group.

The LIPF is a UK Research and Innovation (UKRI) led programme looking to invest in the development and scaling of high-potential innovation clusters across regions of the country.

It is part of the UK’s broader Industrial Strategy plan to unlock regional economic growth, creating the right conditions for innovation, productivity and sustainability.

Areas bidding for the cash have to demonstrate that their plans are based on a collaboration between universities, industry and local and national government.

At the LCCA’s final meeting of 2025, just before Christmas, Blackburn with Darwen Council leader Phil Riley said the bid: “Plays to Lancashire’s strengths – so it just feels like exactly the right thing that we should be getting started with.”

A number of regions have already been successful in getting cash from the LIPF. Last summer it was announced that Greater Manchester, West Midlands and the Glasgow City region were to receive funding to deliver more “game-changing local innovations” such as robotics to unlock new medicines or AI that can spot illnesses earlier.

The package is giving local leaders in these areas access to a total of £50m each to support innovations in science and technology in their areas.

Announcing the funding, the government’s science and technology secretary Liz Kendall said: “The UK is blessed with incredible science and tech talent behind everything from life-saving vaccines to cleaner fuels that could cut bills in the years to come, improving the lives of people up and down the country.

“These prized sectors are also major drivers of economic growth in local communities. By backing those with the knowledge to home in on local strengths and supporting valued businesses in building the facilities that can set our country apart, we can lead the next generation of life-changing discoveries.”

Combined Authority members have also approved and approach for allocating more than £40m of funding through the Adult Skills Fund, which supports more than 36,000 adults each year to gain skills to help them find a job.

The eligibility criteria will also be extended so that people who are under a formal redundancy consultation can receive support.

The transition of Local Transport Authority functions to the LCCA when it becomes the sole body for Lancashire County Council, Blackburn with Darwen Council and Blackpool Council is also moving forward.

Members have approved approved the creation of a Commissioning and Assurance model for 2026 to 2027 which will ensure the delivery of the Local Transport Authority functions of the LCCA from April 1.

Some of the key functions that will become the direct responsibility of the LCCA include developing and maintaining a Local Transport Plan for the LCCA area, establishing and managing a pan-Lancashire Enhanced Partnership with local bus operators and receiving and utilising grants and other public transport related funding.