Interest free loans are available to business in Wales and Northern Ireland who wish to invest in energy efficient equipment and renewable technologies.
If your organisation is based in Northern Ireland please click here.
If your business is located in England or Scotland, see our Implementation and Finance service.
- Small and medium size businesses (SMEs) in Wales can apply for a loan.
- Large businesses and public sector organisations are not eligible for interest free loans, but may be eligible for our Implementation and Finance service
- Incorporated businesses trading for at least 12 months
- Unincorporated businesses trading for at least 36 months (this will include charities, friendly societies, partnerships, clubs, etc)
- Businesses with an acceptable credit history
- Business operating in sectors permitted to receive de minimis state aid under the current regulations, and who have not exceeded state aid limits
The EU definition of an SME is an organisation with:
- Fewer than 250 full time or equivalent employees
- An annual turnover not exceeding €50m (approximately £42.5m) and / or assets not exceeding €43m (approximately £36.5m)
- No controlling interest of more than 25% by a non-SME
EU rules on state aid mean we are not normally able to offer business loans for the acquisition or adaptation of vehicles, to organisations involved in primary production of agricultural products (which includes horticulture, dairy, wine-making – click here for the full list), the fisheries and aquaculture sector, or for export-related activities.
How much can be borrowed?
Business loans are available from £3,000 - £200,000. The size of the loan will be based on the projected CO2 savings of a project - we offer £1,000 of loan for every 1.5 tCO2 your project is expected to save per annum. The projected CO2 savings will be independently assessed by the Carbon Trust.
The repayment period for the loan is then based upon the projected energy cost savings, such that the monthly loan repayment amount is covered by the anticipated energy bill savings, up to a maximum of 4 years.
To see how much a project could save, try our Loan Calculator (excel, 43kb).
Multiple loans are available up to the maximum loan amount.
Which projects qualify?
We can give £1,000 of loan for every 1.5 tCO2 your project is expected to save per annum.
Many types of project will be considered, provided they meet the on-site fossil fuel saving requirement. Examples of just some of the projects that could qualify include the following:
- Air conditioning
- Heating controls
- Building insulation
- Heat recovery
- Pipe insulation
- Solar thermal systems
Industrial Process Technologies
- Compressed air fittings
- Materials handling equipment
- Power factor correction
- Process heating
- Process controls
- Variable speed drives
- Solar PV and solar thermal
- Wind turbines
- Heat pumps
Many more projects will be considered for a loan and each project will be assessed on its potential to deliver real energy savings. Call us on
028 9073 4398 if you are unsure about whether your project will qualify.
How to apply
Follow these 5 steps to apply for a loan
Step 1 Check if your organisation is eligible to apply
Step 2 Check if your project qualifies
Step 3 Read these guides
Complete the beneficial owners declaration (.docx)
Collate all the documentation referred to in the guides to support your application. This includes completing the Energy Saving Assessment (.xls) Template (ask your supplier for assistance). If you are requesting a loan to fund a power factor correction, spraybooth, voltage management, air compressor, or plastic injection moulding project, please also complete the relevant template below
Step 6 Click here to apply online
Additional documentation for specific projects
If you have any questions get in touch by emailing firstname.lastname@example.org or call 028 9073 4398.
Some of the services we provide in connection with our Interest Free loans scheme are supervised by the Financial Conduct Authority, based at 25 The North Colonnade, Canary Wharf, London E14 5HS.