The principle whereby an EU grant covers only part of the project cost, while the beneficiary funds the rest from its own resources, from income generated by the action or from third-party contributions. In Horizon Europe the rate depends on the type of action: 100% for research and coordination actions, 70% for innovation actions.
An EU grant usually does not cover everything: the rest must come from your own resources, income generated by the action, or financial or in-kind contributions from third parties such as national or private programmes.
Horizon Europe funding rates
100%: research and innovation actions, coordination and support actions, training and mobility actions, pre-commercial procurement.
70%: innovation actions and innovation-and-market-deployment actions. The exception most often forgotten: non-profit legal entities may receive up to 100% even in an innovation action.
50%: public procurement of innovative solutions. 30–70%: programme co-fund actions.
The rate applies per participant, not per project: an affiliated entity may have a different rate from its beneficiary and is funded at its own. For lump sum and unit grants the rate is already built into the methodology and does not appear in the agreement.
What the Commission does not ask for
In Horizon Europe you normally do not have to evidence your sources of co-financing – there is no separate co-financing report unless the action specifically requires one. This differs sharply from EU external action procedures, where the beneficiary must declare the co-financing actually provided in the final report and volunteer work may count for up to half of it.
What you may not cover your share with
The prohibition on double funding is categorical: an action may receive only one grant from the EU budget, and the same costs may under no circumstances be declared to two different EU actions.
The trap: double funding covers not only direct EU grants but also funds managed by a Member State yet co-financed from the EU budget – structural funds, recovery facility money, joint undertaking grants. So closing your 30% in an innovation action with a national grant that itself draws on European funds does not work.
Two exceptions: actions under jointly coordinated Synergy calls (where combined funding stays within 100% of declared costs), and combination with an operating grant provided the accounts separate the items clearly.
The no-profit rule
A grant may not produce a profit, and this is checked at the end. But Horizon Europe grants an important relief: income from exploiting the project's results is not treated as revenue. Commercialising results does not reduce your grant.
Updated 27.07.2026 · Reviewed by: GetGrant editorial team