Extra £10 Million to Support Welsh Businesses on the Road to Net Zero
The Welsh Government has confirmed they will commit an extra £10 million investment in the Green Business Loan Scheme to help Welsh businesses decarbonise their business and reduce energy bills. The funding extends the Green Business Loan Scheme to 2028, doubling the total available finance to £20 million.
What is the Green Business Loan Scheme?
The Green Business Loan Scheme is designed to help Welsh businesses overcome the common barriers to decarbonisation, such as limited time, uncertainty about where to invest, and access to finance. By offering a tailored package of support, the scheme makes it easier for organisations to cut carbon emissions and reduce future energy costs. Businesses can benefit from:
- Part-funded consultancy to map their decarbonisation journey
- Discounted fixed-rate loans for energy efficiency and low-carbon heating projects
- Flexible repayment options that align with project payback periods
Together, these measures create a practical pathway for businesses to save money, lower emissions, and play their part in building a greener future.
What impact has the scheme had on Welsh businesses?
So far, more than 30 businesses across Wales have already benefited, with an estimated 28,000 tonnes of carbon savings expected over the lifetime of their projects. Examples include Thorncliffe Building Supplies in Mold, which secured a £3.2 million loan to install new waste processing technology, cutting landfill while creating reusable aggregates.
The scheme provides loans for a wide range of energy efficiency and decarbonisation measures, including low-carbon heating, improved ventilation, waste management systems, and building fabric upgrades.
What difference will the increase in investment make?
The extra £10 million and extension to 2028, will give more Welsh businesses the support they need to move forward with decarbonisation projects, helping them save on energy bills and cut carbon. This increase in activity will also create more opportunities for non-domestic energy assessors and retrofit professionals, as businesses look for advice, assessments, and installation of measures like insulation, heating, and ventilation improvements. In turn, this means more chances for professionals in the sector to grow their workload while helping Wales move closer to its Net Zero goals.
Elmhurst thoughts
John Robinson, Non-Domestic Scheme Manager comments:
“While the funding applies to Wales only, this announcement is an encouraging sign of government support for the non-domestic sectors role in energy efficiency and decarbonisation. At a time when momentum in the sector has been dented by the absence of MEES in England, this Welsh initiative shows that positive policy action is still possible and can bring meaningful benefits to both businesses and the environment.”