BRUSSELS / EuroWire / – The European Union has adopted a €115 million programme to accelerate defence innovation across the bloc. The Programme for Agile and Rapid Defence Innovation, known as AGILE, will support small and medium-sized companies, including start-ups and scale-ups. The Council of the European Union formally approved the regulation on October 12 after lawmakers completed the final legislative steps. The programme targets emerging and disruptive technologies that can move from development into practical defence use more quickly.
AGILE will finance the development and testing of innovative defence products, including civilian technologies adapted for military applications. The programme sets a four-month target for awarding grants after applications enter the funding process. EU officials expect supported technologies to reach defence forces within one to three years. Grants will range from €1 million to €5 million, giving smaller companies direct access to funding for projects that meet programme requirements.
The European Commission expects AGILE to support about 20 to 30 projects during its first phase. Selected projects may receive funding covering up to 100% of eligible costs. Companies can also claim qualifying expenses incurred up to three months before the closing date of a call. The work programme will cover mission-driven product development and market delivery activities that help defence solutions move toward operational customers and established procurement channels.
Fast-track grants target smaller defence firms
AGILE-backed companies will gain faster access to testing and experimentation facilities across Europe. The framework also provides matchmaking between smaller innovators and major defence manufacturers. EU member states will help define programme challenges so funded work reflects identified capability needs. The rules also include simplified procurement measures for supported products, creating another route for successful projects to move from testing into defence supply chains and operational use across participating European markets.
The first call for proposals is expected at the beginning of 2027, when the programme is due to become operational. Participation will include eligible companies from EU member states and associated countries. Ukraine and countries in the European Economic Area and European Free Trade Association can also take part. The programme allows single companies to apply, while consortium participation remains available under the funding framework for eligible projects.
Launch planned for early 2027
The European Parliament approved the agreed text in a plenary vote on October 6 after negotiators reached a political agreement in July. EU officials first presented AGILE in March 2026 as a dedicated instrument for faster defence technology development. Formal adoption now clears the remaining legal steps before implementation. The presidents of the Parliament and Council must sign the regulation before publication in the EU Official Journal, followed by entry into force 20 days later.
AGILE will complement existing European programmes that support defence research, industrial development and technology uptake. Its €115 million budget sits within the current EU financial framework and focuses heavily on smaller and newer defence suppliers. The funding model combines rapid grant decisions, testing access and routes into procurement for selected projects. AGILE aims to shorten the path between promising technology, operational testing and use by European defence customers across participating countries.