Getting accepted to a funded PhD in the UK with low MSc grades
Short Answer: Yes you can, however it might take longer time to find a place. 

Longer Answer 

In the UK, as long as you find a supervisor that is fine with you being at his/her research group, the university does not interrupt the flow of the supervisor get you as a PhD student. 

Tricky Parts: Now you need to find a supervisor that find you suitable, please consider the following: 

What are your strongest abilities? If you failed in a subject about software architecture for example, finding a supervisor in this area is waste of time; as you can not demonstrate that you will be a good candidate for that. See in what subjects you got a good mark, or even excellent mark; go and talk to the corresponding supervisor. See if he/she knows someone so you can apply for a place. 

Supervisor First Then Funding: Based on your question, I'm assuming you are a European national. In this case, there is more likely for you to get a some European-based funding compare to Asian students for example. So, first focus on finding a supervisor, and then talk to him/her about funding; I'm sure seasoned professor, knows how to help you to apply for a funding. 

Possibilities In Smaller Towns: You could also try to find a good university in smaller towns, where the price of living is much less than big cities. Also, because the demand is lower compare to big cities, they might have a funding for you.