The funding has been provided by the Engineering & Physical Sciences Research Council (EPSRC), Arts and Humanities Research Council (AHRC) and the Economic and Social Research Council (ESRC) to encourage faster progression in additive manufacturing, also known as 3D printing, with the aim of bringing components and consumer items that are created using the process, to market.

Grants from £50,000 to £750,000 will be awarded through an open competition managed by the Technology Strategy Board (TSB), the government's science and technology advisory body.

The competition, which opens on 3 December, will be open to projects categorised as small (£100,000-£400,000) and led by a small company, medium ((£200,000 to £1m) and led by a medium sized business, or large (£500K to £1.5m) and led by a large company with partners from three or more sectors.

Proposals for the Inspiring New Design Freedoms in Additive Manufacturing competition must be collaborative, involving science-to business or business-to business approaches, and must include at least two non-academic partners although university participation is encouraged.

Additive manufacturing is the process of creating or "printing" objects layer by layer using 3D model data, rather than creating items through traditional 'subtractive' manufacturing methods.

Making the announcement universities and science minister David Willetts said: "3D printing technologies offer huge potential for UK businesses to compete successfully by embracing radically different manufacturing techniques that could be applied across a wide variety of global market sectors, from aerospace to jewellery."

Willetts said the grants could help UK companies make a "step change" necessary to reach new markets and gain competitive advantage.  

He added: "Building on £20 million of previous Technology Strategy Board support for additive manufacturing innovation, it will help secure more of this game-changing high value activity for the UK, driving economic growth and enhancing quality of life."

Technology Strategy Board CEO Iain Gray said: "By working together to stimulate innovation in this exciting and challenging area, we aim to accelerate the transition from fundamental research to the creation of new design, production and supply chain competences, capitalising on work we have previously funded. We want to make the UK a world leader in 3D printing."