Kernow Industrial Growth Fund
The Kernow Industrial Growth Fund (KIGF) is a £30 million investment programme funded by HM Government and delivered by Cornwall Council. It has been established to support economic growth in Cornwall by investing in projects that can strengthen and scale the region’s distinctive sectors.
These sectors, critical minerals, renewable energy, space and marine innovation, represent areas where Cornwall has recognised competitive advantages and a strong role to play in delivering national industrial priorities.
Purpose of the fund
KIGF has been designed in response to a changing funding landscape and reflects a shift towards a more investment-led approach to economic development.
The programme focuses on using public funding to enable and unlock wider investment, rather than acting as the primary source of funding. This includes attracting private and institutional investment into Cornwall and supporting projects that can deliver long-term economic impact.
The fund will prioritise projects that can:
Deliver transformational impact within Cornwall’s distinctive sectors
Unlock or leverage additional investment
Contribute to productivity, job creation and sector growth
Align with Cornwall’s Good Growth Plan and national priorities
The total value of the fund is £30 million. This consists of:
Capital investment of £27 million
Smaller allocation for revenue activity of £3 million to be managed and commissioned by the council for programme delivery and sector development.
What we are looking to support
KIGF will support high-quality, investment-ready projects that deliver clear economic benefits and align with the programme’s commissioning approach.
This includes projects that:
Enable growth within one or more of Cornwall’s distinctive sectors
Provide enabling infrastructure or remove barriers to sector growth
Strengthen supply chains and sector ecosystems
Deliver benefits beyond a single organisation, including wider sector impact
Demonstrate a clear rationale for public investment
Projects should be well-developed, with appropriate planning, consents and delivery arrangements in place, or close to being in place.
Programme structure
The fund will be delivered through two core investment strands:
Cornwall Catalyst Fund
Supporting projects that drive growth and innovation within Cornwall’s distinctive sectors, including sector-enabling infrastructure and business-led investment.
Cornwall Assets Growth Fund
Focused on unlocking the potential of Cornwall Council-owned land and assets, enabling development that supports sector growth and attracts private investment.
Approach to investment
KIGF adopts a commissioning approach rather than a traditional open call grant scheme. Cornwall Council will work proactively with potential applicants to shape investment propositions and ensure alignment with programme priorities.
Minimum contribution will be £200k of KIGF and will be capital expenditure only. Investment will be at a maximum intervention rate of 30%.
Investment will be based on a “minimum intervention” principle, with funding provided at a level required to unlock projects and maximise leverage of other funding sources. This could be in the form of repayable growth finance, loan, a grant, or a hybrid model.
All proposals will be assessed against criteria including:
Strategic alignment
Deliverability
Sector impact
Value for money
Good Growth principles
View Investment Plan submitted in March 2026
This plan is subject to change pending final approval by Government.
Timescales
Investment Plan approval and launch: Spring 2026
Third Review Point deadline: 13 November 2026
All Funding Committed: 31 March 2028
Programme Completion: 31 March 2031
Given the delivery timeframe, projects will need to demonstrate readiness and the ability to progress at pace.
How to engage
Organisations interested in the KIGF are encouraged to engage with Cornwall Council at an early stage.
The Commissioning document sets out how we will engage with organisations interested in support from the Fund. Please read before submitting an Expression of Interest.
Review point 3
The next stage of the fund will focus on addressing gaps in the portfolio of investments. Priority will be given to proposals which are:
Supporting Marine Innovation and Renewables. Businesses operating in marine innovation and onshore renewables are encouraged to bring forward proposals that advance clean energy technologies, strengthen supply chains, bring new products to market and create new specialist jobs. Proposals that test autonomous or advanced systems in a marine environment; that support marine manufacturing, clean energy systems, digital and AI technologies, propulsion systems; and/or deliver grid infrastructure for shore-side operations are encouraged.
Advancing Space, Aerospace and Autonomous technologies. Projects that develop or launch new satellite technologies, increase Cornwall’s space launch or space mission capability, or expand drone, UAV and autonomous systems capabilities will be encouraged, particularly where they help businesses secure new contracts. The fund will prioritise proposals that create new specialist jobs and bring new products and services to market.
Unlocking growth on Cornwall Council assets. KIGF will also welcome proposals from businesses in Cornwall’s distinctive sectors and their supply chains involving Cornwall Council land and assets, including employment sites at Cornwall Newquay Airport and Aerohub. Investment will aim to unlock strategically important employment sites, attract inward investment and encourage businesses to co-locate. This can help businesses share infrastructure, access specialist skills, strengthen supply-chain links, reduce costs and innovate more quickly.
To have your project considered for Review Point 3, please submit your expression of interest before 5pm on Friday 13 November.
Submit an Expression of Interest
KIGF forms part of a shift in Cornwall’s approach to economic development, moving towards a model that prioritises investment, partnership and long-term impact.
By focusing on distinctive sectors and enabling high-value projects, the fund aims to support a more resilient, productive and sustainable Cornish economy.
