Leonardo Cunha

Leadership | Entrepreneurship | Management | Planning | Strategy | Writing for Finance | Development finance expert | International speaker

7th September 2025

Navigating the landscape of development grants can often feel like threading a needle in the dark. In certain funding streams - particularly those highly prestigious or deeply restricted - the likelihood of success can dip into the single-digit percentage range. For example, competitive schemes such as Innovate UK's Smart Grants have witnessed success rates as low as 2% - 10%, highlighting a formidable barrier to entry for many applicants. Similarly, top-tier European Research Council (ERC) grants - widely regarded as among Europe's most reputable awards - offer success rates averaging around 12%. But in some rarefied pockets of funding, especially early-career or novel high-impact streams, success can be even scarcer, occasionally approaching the stark low of 1% - 3%.

This level of competition underscores a vital lesson: organisations must build robust, adaptable grant programmes rather than rely on singular, high-risk bids. A foundational approach rooted in strong institutional capacity, strategic alignment, and diversified targeting is far more sustainable.

First, it is essential to ground the programme in organisational strength. Ross et al. (2019) found that certain internal research development activities - like supporting large, multi-investigator proposals, establishing internal seed funding, and implementing grant team project management - are most impactful in driving grant success. In effect, laying a firm internal foundation allows organisations to scale their grant readiness over time, building credibility and efficiency.

Second, cultivating relationships and funder familiarity matters greatly. High-tier schemes often favour applicants who have demonstrated alignment with funders and understand their priorities. A skilled grant writer operating with existing funder relationships may achieve success rates of 50% - 60%, compared with much lower rates for new funders. This evidence suggests that grant success is less a matter of luck and more a result of deliberate long-term strategy.

Third, diversification of funding sources broadens opportunities. While large, prestigious grants may have extremely low success odds, smaller foundations or local funders often demonstrate more favourable approval rates - sometimes in the 15% - 45% range - though these figures remain highly dependent on the organisational context. Thus, by tailoring programme design to match various funder types -balancing large, ambitious applications with more modest, achievable ones-organisations can optimise their overall grant "win rate."

These insights converge into a compelling strategic framework. Begin by building internal capacity - develop programme structure, develop compelling evidence of impact, streamline processes, and invest in team skills. Concurrently, cultivate relationships with funders and understand their specific criteria. Finally, adapt your programme across multiple funding streams, from high-risk, high-reward schemes (with success as low as 1% - 3%) to mid-tier or regional grants with more moderate success odds.

Development grants exist on a highly competitive continuum. While success rates can languish in the 1% -3% range for elite funding streams, a robust internal programme - anchored in organisational capacity, strategic alignment, and diversified targeting - transforms this challenge into a structured opportunity. Instead of placing all hopes on one rare success, organisations are better served by building a strong, flexible funding apparatus that can thrive across a spectrum of sources, steadily strengthening credibility, impact, and sustainability.

References

Ross, R., Reeves, D., Scarpinato, M., & Pelham, L. (2019). Success factors for university research development: Support for large multi-investigator project grants. Journal of Research Administration, 50(3). Retrieved from ERIC. files.eric.ed.gov

Funding for Good (n.d.). About grant writer success rates. Retrieved from FundingForGood.org.

Grantable.co. (2025, August 18). How to measure and improve your grant win rate. Retrieved from Grantable blog. grantable.co

GrantWatch (2025, June 5). What are the actual odds of getting a grant? Retrieved from GrantNews. https://www.grantwatch.com

Financial Times (2024, November 8). Innovate UK puts grant scheme on hold for small businesses. Retrieved from FT.com. The Times

Categories

en_GB