2025 in Review: A Year of Supporting UK Innovation

It would be neat to say the highlight of 2025 was a particular client win or funding announcement. It was not. The most memorable parts of the year were the people and the conversations around them.

A few moments in particular:

• June: Brave New World joined London Tech Week, with Browne Jacobson and shipshape.vc, bringing space, aerospace, defence and security technology companies together with investors.
• July: The SPARKies in Bath, where we sponsored HealthTech Business of the Year and watched Neuronostics collect two awards.
• October: Future Forward at the University of Essex with Innovate UK Business Growth, on funding AI and deep tech in the East of England.
• October: Future Forward at Dawn Capital with Blott, on agentic AI in financial services and insurance.

October, as you may have gathered, was busy.

Which conversation stayed with us?

If one had to be picked, it would be the agentic AI afternoon at Dawn Capital. Two panels of people running real businesses in financial services and insurance, and a fireside with Nscale on AI infrastructure, produced a far more grounded discussion than the usual conference fare.

The point that stuck was that the biggest return from AI comes from better decisions, not only faster processes. It was a useful reminder of why putting founders, investors and operators in the same room matters. Nobody learns that from a webinar.

What changed for innovation funding in 2025?

Three things shaped the year for the companies we work with.

The merged scheme arrived in practice

The merged R&D expenditure credit scheme applies to accounting periods beginning on or after 1 April 2024. For many companies, 2025 was the first time they prepared a claim under it. New rules on contracted-out R&D and overseas costs caught a few people out, and the Enhanced R&D Intensive Support (ERIS) route became important for loss-making companies spending heavily on research.

Compliance stayed front and centre

HMRC's attention on R&D claims did not ease. Claim notification deadlines, the additional information form and more detailed questions on technical narratives are now part of normal life. Companies with good records and a clear explanation of their work had a much easier time than those reconstructing it afterwards.

Funding became more joined up

More founders asked how grants, R&D tax relief, equity and debt fit together, instead of treating each in isolation. That is a healthy shift. The best funding plans we saw this year started with what the business needed to prove next and worked backwards.

What did the year teach us?

Events are only one part of supporting innovative companies. The same lesson applies to funding advice, partnerships and introductions. A founder may need an investor. They may also need an accountant who understands their sector, a technical adviser, a first customer, or simply someone who solved the same problem two years ago. The most useful thing we did on some days was make an introduction and get out of the way.

The UK still has excellent technical talent, ambitious founders and increasingly sophisticated investors. The gaps are in between. How does a company in Colchester find the right investor in London? How does a research team in Bristol find a first commercial customer? Those are connection problems, and connection problems can be fixed.

What are we looking forward to in 2026?

More of the same, done better. More useful conversations, more collaboration with partners who share the same outlook, and more chances for ambitious companies to move forward. Brave New World returns early in the year with its largest event yet. There will be more work across the South West and the East of England, and more plain-English guidance on R&D tax relief and grants as the rules keep moving.

To everyone who came to an event, made an introduction, referred a client or told us where we could do better: thank you. See you in January.

Frequently asked questions

What does Walmer Group do?

Walmer Group is a UK innovation funding specialist. It helps startups, scaleups and established businesses access funding through R&D tax relief and grant funding, with a focus on companies in science, technology, engineering and maths.

What changed in UK R&D tax relief during 2025?

2025 was the first year most companies claimed under the merged R&D scheme, which applies to accounting periods beginning on or after 1 April 2024. It brought new rules on contracted-out R&D and restrictions on overseas costs, alongside continued HMRC scrutiny.

What is Brave New World?

Brave New World is an event series created by Walmer Group, Browne Jacobson and shipshape.vc. It brings together founders, investors and industry leaders working in defence, space, aerospace and dual-use technology.

What is Future Forward?

Future Forward is an event series run by Walmer Group and Blott, with other partners. It focuses on AI, deep tech and how innovative companies are funded.

Key takeaways

• The most useful moments of the year happened in rooms, not inboxes.
• Founders rarely need one thing. They need an investor, an accountant, a technical adviser and a customer, often in the same month.
• 2025 was the first year most companies claimed under the merged R&D scheme.
• The UK's raw material is strong. The connections between the parts still need work.