Directly incurred costs - BBSRC

Directly incurred costs are expenditure that is to be directly incurred for a project and only that project and is supported by an auditable record.

Audit requirements for directly incurred costs

UK Research and Innovation (UKRI) expects directly incurred staff to use timesheets so that their actual time is recorded against a project to form the basis of the costs charged.

Where a person is contracted to work 100% of their time on a single project (whether they are working full-time or part-time), timesheets are not necessary as their costs can only be charged to that activity.

In all other cases, timesheets or project time records are required. This includes those who may be contracted to work on two or more projects, since it is essential when charging to have a means of recording and verifying the actual time applied to each activity.

UKRI’s expectations are that time recording will be undertaken regularly and continuously and that records will be verified at least monthly.

Directly incurred costs fit into four categories.

Staff

The payroll costs of all staff, full or part-time, who work on the project, and whose time can be supported by a full audit trail may be included. The need for such staff should be justified in the justification of resources attachment.

Where an application includes provision for named research, technical and support staff, BBSRC will normally expect to award funds at 80% of the level requested. Research assistants, whether named or unnamed, should be requested at a salary level commensurate with the skills, responsibilities, expertise and experience necessary to carry out the proposed research activity. They should also only be employed by an eligible institution named in the application and be based at that institution.

It will be for those submitting the proposal to determine the extent to which market conditions make it difficult to recruit staff of appropriate quality in areas of high market demand and therefore require an uplift from normal salary levels. Provided the uplift has been fully justified within the justification of resources attachment, BBSRC will make the award at that level. BBSRC reserves the right to provide support at a different level if it is considered appropriate.

Data-driven research and the development of associated methods, tools and resources are an integral part of contemporary bioscience. As such, staff support can be requested in the following three areas.

Research data management

Support may be requested for any costs related to research data management which will be incurred during the project and not be covered by directly allocated or indirect costs. These costs must be fully justified.

Professional support

Proposals should be fully scoped and are expected to include the necessary full or partial full-time equivalent (FTE) roles associated with professional support for data-intensive bioscience, such as for data analysis and management. This can include support through the use of shared facilities and technical professionals such as research software engineers where appropriate.

Skills

Applicants should ensure professional support roles for data-intensive bioscience are made at appropriate salary points in recognition of the competitive market for staff with strong quantitative expertise. Proposals can also support upskilling costs. The rationale for these costs must be clearly articulated in the justification of resources.

General training such as project management would not be an eligible cost to charge as directly incurred, as this is not considered to be a cost arising as a direct result of the grant activity. However these costs can be covered using indirect funds. UKRI will permit costs for specific training requirements that arise directly from the needs of the grant, such as specialist training.

Salary increments over the period of the project should be taken into account, but not anticipated future pay awards. Where it is expected that named research staff will be promoted during the lifetime of the grant, provision may be made for this in the grant proposal. If a grant does not include provision for such costs, funds may be transferred from other directly incurred and exceptions headings.

The research organisation is responsible, as the employer, for the contracts of employment of the staff concerned and, consequently, for any redundancy or other compensatory arrangements that may be required. Work permits, if required, are a matter for direct negotiation between the research organisation and the relevant government departments. BBSRC has no restrictions or requirements on residency, nationality or citizenship in relation to research support staff funded from a grant.

Travel and subsistence

Travel costs for journeys that are an essential part of the investigation and are directly related to the research project, can be claimed as a direct cost on the research grant. All journeys must be identified individually and be fully justified in the application. Travel and subsistence will be in accordance with UKRI terms and conditions.

All travel claims should evidence value for money alongside environmental impact, welfare and business need. Consequently, these should only include travel by standard class by train and economy class by air. Exceptions to this would be permitted where there is a justifiable health and wellbeing need and approved by the research organisation prior to purchase, and evidence of this should be available.

Costs for attendance at conferences may be included where such attendance will be of direct benefit to the research. BBSRC will expect research assistants employed on the grant to have first call on conference attendance. Conferences should, as far as possible, be individually identified in the proposal and attendance justified.

Equipment

For opportunities published before 1 April 2025 the previous costs thresholds will apply. The funding opportunity will specify how equipment costs should be included within your application.

Equipment below £25,000 (including VAT)

Individual items of equipment below £25,000 should be included in ‘directly incurred: other’ costs, and will be funded at 80% of full economic costing (FEC).

Equipment over £25,000 (including VAT)

Single capital items of equipment over £25,000 should be included under the ’directly incurred: equipment’ cost heading, and will be funded at 80% of the FEC. Additional justification of the requirement for equipment must be provided in the resources and cost justification.

Applicants should obtain and retain quotes for equipment over £138,000 (including VAT) and BBSRC may request them at a later stage.

For applications involving multiple research organisations, we expect the applicants and their research organisations to agree amongst themselves the levels of contribution from the different organisations, and the ownership and hosting arrangements for the equipment. Information should be provided in the resources and cost justification section.

Awards going to organisations from countries on the OECD DAC list of ODA recipients may be funded at 100% FEC, subject to opportunity specific conditions. Equipment costs are not permitted on funding being awarded to countries not on the OECD DAC list of ODA recipients, as per project co-lead (international) policy.

Instrument development

An award, or group of awards, forming a single project will be classed as instrument development where it is wholly or mainly focused on creating a novel instrument that will either enable research capability not available using any existing instrument, or will substantially improve research capability beyond what currently exists, in a way that opens up significant new scientific opportunities.

Instrument development can occur in a variety of ways. It might involve the construction of a wholly new instrument from its basic components, or it might involve the substantial modification of an existing instrument. Finally, it might involve the integration of two or more existing instruments into a new combined one. In this latter case the proposed integration would need to be technically non-trivial and lead to a capability significantly beyond that of using the component instruments independently.

Awards for instrument development may be funded at 100% FEC.

Applicants should note that the guidance applies to individual pieces of equipment. Other equipment requested on the application but not related to the instrument development will be subject to the standard rules for equipment funding.

Other costs

Costs sought should be specified as far as possible in the proposal and justified in terms of the requirement for the research proposed. This may include:

  • consumables
  • specialist publications (not expected in institutional libraries)
  • field work and fees
  • computing (recurrent cost of computing dedicated to the project only, for example stationery supplies and software licences, not costs associated with use of central computing facilities)
  • publication costs (within the period of the grant) associated with research outputs, other than journal articles and conference papers, such as books, monographs, critical editions, catalogues etc. Full justification for such costs must be provided. However, publication costs including open access charges, page charges and reprints associated with peer reviewed journal articles and conference papers must not be included in the application
  • consultancy fees
  • recruitment and advertising costs for staff directly employed on the grant
  • equipment related items, such as relocation, maintenance (external contracts and agreements). For equipment maintenance costs, applicants should include a cost breakdown and the costs claimed on the research grant must be on the basis of use for the project
  • rental and access charges for equipment (specify equipment or service being used, basis of charging and required hours of usage)
  • equipment, complete items costing less than £10,000 (including VAT) only
  • direct services and facilities charged on a usage basis where administrative systems efficiently and robustly support this to provide an audit trail. This includes requests for costs for the use of Earlham Institute (formerly TGAC) facility sequencing (previously Earlham Institute facilities were requested as directly allocated costs) and the UK 850MHz Solid State NMR Facility at the University of Warwick.

Please note the justification of resources should make clear if elements of costs for a complete service, for example glasshouse use are split between different categories of costs, technicians and consumables, and identify their location within the proposal. This is required to enable comparisons of different approaches using the same overall resource.

Rental and access charges for equipment

BBSRC will not meet rental access charges on equipment that has been funded by BBSRC or any of the other research councils. BBSRC grant holders should not be charged any element of the capital costs of research council funded equipment.

Requests for rental access charges must be accompanied by confirmation that the equipment was not funded by BBSRC or another research council. How charges have been arrived at must be clearly shown.

Patent costs, and other intellectual property rights costs such as those relating to licensing agreements and the establishment of spin-out companies, are not eligible costs on research grants.

Last updated: 4 April 2025

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