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      Interest free loans from the Carbon Trust.

            Borrow £3,000 to £500,000 at 0% interest

      Information, eligibility and how to apply.

Unsecured interest free loans.

         The Carbon Trust's Energy-Efficiency Loans are designed to reduce carbon emissions by enabling businesses to overcome the capital barrier of purchasing energy saving equipment.

         Loans are interest free, provided on an unsecured basis and are for £3,000 to £500,000. Repayments are offered on a 12 to 48 month basis.

         Examples of eligible energy saving equipment purchases include replacement lighting. Loan applications and the amount of loan to be offered, are assessed on the expected energy savings.

         A loan that pays for itself With increasing utility prices, the monthly energy cost saved from installing new equipment will often exceed the loan repayment. In most cases, therefore, projects can be funded from energy savings alone.

         A Government-backed scheme
The Carbon Trust is an independent, not for profit company set up by the Government to work with UK business and the public sector to cut carbon emissions through practical advice and support. The interest free loan scheme is one important way in which we are encouraging investment in energy efficiency to reduce carbon emissions.

         What companies are eligible?

         England & Scotland
Private sector small and medium-sized enterprises (SMEs) with a trading history of at least 12 months and an acceptable credit rating. The scheme recognises charities and societies to be SMEs.

         A business is an SME if:
• it has fewer than 250 full-time equivalent employees
• it has less than €50 million turnover (approx £35 million) or less than €43 million in assets (approx £30m)
And:
• less than 25% is owned by another business.

         Wales & Northern Ireland
Private sector businesses of any size may apply, as long as they have a trading history of at least 12 months and an acceptable credit rating.

         How much can you borrow and for how long?

The value of the loan offered will depend on the amount and type of energy saved. Different energy sources release different amounts of CO2 into the atmosphere as they are consumed (this is called the CO2 intensity). The CO2 intensity affects the value of the loan that the Carbon Trust will offer.

         To establish the loan value, the Carbon Trust will assess the amount of CO2 that will be saved as a result of investing in the energy saving equipment. Based on the calculated CO2 saving the Carbon Trust will quantify the size of loan it is able to offer and the payback period, which will be between 12 and 48 months.