What is the EDF?
The European Defence Fund (EDF) is the European Union’s key instrument for supporting collaborative defence research and development (R&D), and for strengthening the EU’s defence technological and industrial base.
Running under the 2021–2027 Multiannual Financial Framework, it provides funding to consortia of companies, research organisations and other actors from multiple EU Member States working together on defence capabilities.
Key Features and Objectives
- Budget & Scope: The EDF is budgeted at around €7.9 billion for 2021–2027.
It is structured around two main pillars:
- Research dimension — financing collaborative advanced defence research projects.
- Capability development dimension — co-funding projects that develop prototypes, equipment, systems which then address capability priorities of Member States.
- Strengthening cross-border cooperation, including SMEs and research actors across the EU.
- Supporting Europe’s strategic autonomy in defence technologies, promoting innovation, interoperability and a competitive industrial base.
Why it matters
- The EDF offers an opportunity for defence-industry actors — large companies, SMEs, research institutions — to collaborate across borders, pool expertise, share risk, and deliver next-generation technologies.
- For EU-based innovators, qualification for EDF funding means access to significant resources, reputational strength, and alignment with Europe’s security and defence objectives.
- It helps fill a gap: Many national defence R&D efforts are fragmented; the EDF encourages scale, interoperability and joint investment.
Who can participate?
- Legal entities established in an EU Member State (and sometimes associated countries) working in defence R&D.
- Consortia of multiple organisations from different Member States or associated countries.
- SMEs, start-ups, large enterprises, research institutions all have a role.
- Projects must align with the capability priorities agreed by Member States under the EU’s Common Security and Defence Policy.
The European Defence Fund represents a major opportunity for entities engaged in defence research and capability development across Europe. With its significant budget, clear emphasis on innovation and cross-border cooperation, and the 2025 Work Programme opening new calls in critical frontier technologies, the EDF is key to shaping Europe’s defence future. By preparing strategically, building the right consortium and aligning with the programme’s aims, projects can tap into this robust funding mechanism.
For defence-industry participants seeking to scale and innovate, the time to act is now — the EDF is not just a funding source but a strategic driver of Europe’s security, industrial strength and technological leadership.
