£9.5 Million Fund Launched to Tackle Digital Exclusion Across UK

Local councils and charities will be able to access a new £9.5 million government fund aimed at helping more people get online, as part of the UK’s Plan for Change.

The Digital Inclusion Innovation Fund is designed to reduce digital inequality by supporting grassroots initiatives such as technology workshops and device donation schemes. The funding will be administered in partnership with the devolved governments in Scotland, Wales, and Northern Ireland, which will manage distribution in their areas to reflect local needs.

The government estimates that 1.6 million people in the UK are entirely offline, while 7.9 million adults lack basic digital skills, restricting access to employment, services, and online savings. Research suggests that offline consumers can pay up to 25% more for essentials like home insurance, travel, and food.

Under the scheme, English local authorities, charities, and research organisations can apply for grants ranging from £25,000 to £500,000 to boost digital inclusion in their communities. In June, the government also launched the IT Reuse for Good charter, encouraging organisations to donate devices to those without access.

UK Telecoms Minister Sir Chris Bryant said:

“It is unacceptable that in 2025, millions of people across the UK simply can’t access the vast opportunities that technology and the online world offers. Digital inclusion is essential for modern life and work… Through this funding we’re empowering local leaders and groups nationwide who are already working tirelessly to get their communities connected.”

Welsh Government Cabinet Secretary for Social Justice Jane Hutt added that the funding would build on Wales’ Digital Strategy, helping more people achieve the minimum digital living standard and engage safely online.

By supporting local projects, the government hopes to identify innovative approaches to digital inclusion that can be scaled nationwide. The fund is a key element of the Digital Inclusion Action Plan, which sets out the government’s steps to ensure everyone in the UK can access and benefit from digital services.