Funding & Grants
Finding funding to implement low carbon measures can be one of the most significant challenges to net zero action that businesses face.
Explore some of the options available below, which include grants, green financing, such as green loans, and community renewables schemes.
Local support:
Energy Solutions Oxfordshire (ESOx) Green Fund – offers grants for any Oxfordshire SME towards the cost of implementing energy efficiency and renewable energy measures recommended in an ESOx energy efficiency assessment report. Grants are available for ÂŁ200-ÂŁ10,000, but must be match funded on a 1:3 basis (businesses can apply for 25% of the cost of measures up to a maximum ÂŁ10,000, with the other 75% from own capital or other grant sources). SMEs who have not yet had an assessment, can register for an assessment before they apply – with free assessments currently available for Oxfordshire businesses. The Fund has rolling deadlines, for grant panels 17th September, 10th December 2025 and 18th March 2026.
Solar PV (Low Carbon Hub) – businesses with a large roof, significant day-time energy use and the right aspect can host a community-owned solar PV array on their roof, at no cost. The Low Carbon Hub based in Oxfordshire will look after all of the installation, operation and maintenance, so that businesses can access cleaner, cheaper electricity and cut their carbon emissions hassle free, whilst giving back to the community, with all profits going towards grant funding for more community-led climate action.
Warm Homes Local Grant – businesses based at home, business owners and employees in Oxfordshire, including private tenants, may be eligible for funding through Oxfordshire County Council to make their home more energy efficient. Your home must have an energy rating D-G and you must either have a total household income of ÂŁ36,000 or less or be in receipt of certain benefits. If you have any questions or require further information, contact the County Council’s Retrofit Team or register your interest via the online form. You can also contact Better Housing Better Health, a one-stop-shop service for energy saving advice and access to retrofit grant funding schemes.
National support:
Boiler Upgrade Scheme (BUS) – a grant of up to £7,500 for property owners including businesses to cover part of the cost of replacing fossil fuel heating systems with a heat pump or biomass boiler.
Capital allowances – eligible businesses can fully expense the costs of certain new plant and machinery, including energy efficient, or low or zero-carbon technology, such as heat pumps and solar, and access 50% first-year allowances for special rate expenditure from April 2023 until 31 March 2026.
Clean Growth Fund – a climate venture capital fund investing in innovations that tackle the climate crisis.
Cycle to Work – supports employees to cycle to work, including by an electric bike, by making cycling more affordable, through a salary sacrifice scheme. Enables employees to hire cycles and/or safety equipment from their employer, or from a third party, in return for a monthly deduction from their gross salary, reducing the amount of pay on which tax and National Insurance Contributions are charged.
Energy Resilience Fund – for charities and social enterprises, provides a blended funded package of a grant (40%) and loan (60%) for projects of ÂŁ25k-ÂŁ250k towards energy saving measures or general technology, and/or to purchase energy efficient or environmentally friendly vehicles and equipment, helping bolster their energy resilience.
Scottish & Southern Energy Network (SSEN) Powering Communities to Net Zero Fund – a £3m fund to support communities in the SSEN area to improve local resilience and in their transition to net zero with annual funding rounds until 2028. Non-profit organisations can apply for up to £20,000 towards the purchase and installation of low carbon technologies. The next deadline for applications will be in 2026.
Electric Car Grant (ECG) – a new government grant scheme offering discounts of ÂŁ1,500 – ÂŁ3,750 on the purchase price of new qualifying electric cars priced at ÂŁ37,000 or below, to help make electric vehicles more affordable to buy. The grant is applied automatically by the seller as a discount at the point of sale. The scheme is expected to continue until the financial year 2028/29. A list of qualifying vehicles can be found here.
Plug-in vehicle grant – government grant scheme offering discounts on the purchase prices of new qualifying electric vans and trucks. Current discounts are £2,500 for small vans, £5,000 for large vans, £16,000 for small trucks, and £25,000 for large trucks. Grants are applied for by the manufacturer or dealership and applied as a discount at the point of sale. Expected to continue until 2027.
​Workplace Charging Scheme (WCS) – gives businesses, charities and public sector organisations £350 per socket towards the purchase and installation of electric vehicle (EV) charge points. Can be used in conjunction with the EV infrastructure grant for business staff and fleet car parks. Nb. If using both grants, the EV infrastructure grant must be used first, and for different charge points. Both close 31 March 2025.
Green finance:
Many of the UK banks offer green finance products for businesses. All products have different criteria however all aim to help towards the cost of purchasing green assets. Please note that this list is not exhaustive and is only intended as a start. It is essential that you do your own research and also seek professional, independent financial advice to find the right solution for your business.
Cooperative Bank Renewable Energy Funding Scheme
Lloyds Clean Growth Financing Initiative
Lloyds Energy Efficient Building Transition Loan
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The following lenders provide options for businesses delivering a positive social, cultural or environmental impact, and which align with that organisation’s values.
Virgin sustainable business loans
Ecology sustainable business mortgages