Durham University is to receive €275,000 to help create a controlled environment where artificial intelligence models can be tested, as part of a wider international project focused on AI skills and business growth.

The funding comes from the European Institute of Innovation and Technology (EIT) and represents part of the €2 million awarded to the overall European AI Sandbox for Entrepreneurial Learning Project. Durham University will co-lead the development of the proposed ‘AI Sandbox’.

How the Durham project will be used

The university says the new tools will be shared with its spinout companies, student start-ups and partners across North East England. The wider project is intended to help universities, emerging businesses and local small and medium-sized enterprises use AI in a controlled setting.

Durham’s contribution will draw on its expertise in advanced research computing and AI infrastructure. The university says this work will help shape approaches to responsible AI use that align with European standards.

The project brings Durham together with other funded members of the Arqus Alliance: the universities of Granada, Graz, Leipzig, Lyon 1, Maynooth, Minho, Padua and Vilnius, alongside their respective regions.

First externally funded Arqus Alliance project

The AI Sandbox is the first joint project for which Durham University has secured external funding since it joined the Arqus Alliance in 2024.

The award adds to Durham’s wider involvement in artificial intelligence research, skills and commercial development. In September 2025, the university joined UK government efforts to establish an AI Growth Zone hub in the North East.

Deputy Vice-Chancellor and Provost Mike Shipman said that initiative would allow the university to use its AI research, supercomputing capabilities and graduate skills for the benefit of the region and the wider UK economy.

Durham’s wider AI infrastructure

Durham University is also creating an AI Skills Centre of Excellence with Microsoft. Its Leverhulme Centre for Algorithmic Life studies the relationship between human life and machine learning and artificial intelligence algorithms.

The university is a partner in the £12 million National Edge AI Hub, which researches data protection in Edge AI systems. Its Advanced Research Computing support unit also operates Bede, a supercomputer used to support further AI research.

The funding announcement was reported by Palatinate on August 11, 2026.