The article emphasises the importance of European integration for Ukraine, which is positioned as a key step towards approximation to European standards, gaining access to new markets and stimulating economic development. The relevance of the topic is substantiated by the transformational potential of innovations in combination with European integration for the future of Ukraine. The purpose of this study is to analyse the current state of cooperation between Ukraine and the European Union in the innovation sphere and, on this basis, to propose strategies for creating favourable organisational and institutional conditions that would accelerate Ukraine's integration into the European innovation space. The study uses general scientific methods, including systematic analysis, structural analysis, historical and logical method, scientific abstraction, analysis and synthesis, and systematic generalisation. The article analyses the innovation sector in Ukraine and identifies the challenges that hinder its development: insufficient funding and investment in innovation, lack of effective mechanisms to support start-ups, and an education system that does not give due priority to innovation. The positive impact of European integration on innovation development in Ukraine is highlighted. The author proposes directions for the development of the innovation sector in Ukraine, which focus on strengthening cooperation between business, science and government, developing infrastructure to support innovation and creating incentives for investment in innovation projects. The results of this study are of practical importance for the formation and implementation of a set of organisational and institutional measures that will accelerate the pace of Ukraine's integration into the European Innovation Area