The money forms a key part of the push to achieve electric vehicles (EVs) with a range of 400 miles or more - which is considered to be a major landmark within the industry.
Dr Paul Shearing - who co-leads the project for UCL - explained: "We are delighted to be working on this project, which is so important for the future development of battery electric vehicles, and leverages the unique facilities at UCL in partnership with Nexeon and Synthomer to deliver real world research impact."
Meanwhile, Dr Scott Brown - the CEO of Nexeon - has outlined why it's important to develop the Li-ion batteries.
He explained: "The biggest problems facing EVs - range anxiety, cost, charge time or charging station availability - are almost all related to limitations of the batteries.
"Silicon anodes are now well established on the technology road maps of major automotive OEMs and cell makers, and Nexeon has received support from UK and global OEMs, several of whom will be involved in this project as it develops."
Ruth McKernan, Innovate UK Chief Executive, also spoke about the importance of The Faraday Battery Challenge, a £246 million investment over four years to help UK businesses make the most of the move towards a low carbon economy.
She said: "The Faraday Battery Challenge is breaking new ground because it offers for the first time a co-ordinated programme of competitions across research, innovation and scale-up.
"It will therefore draw the very best of the UK's world-leading research into commercial technologies and put UK businesses at the forefront of electric vehicle battery development."