Green Asset Finance
Discounted asset finance for electric vehicles and energy-efficient equipment to support sustainability.
What is green asset finance?
Green asset finance is a type of asset finance that allows you to buy equipment and vehicles to help you achieve your sustainability goals. It allows you to spread the cost over time so you don’t pay the full amount upfront.
As it’s part of our Clean Growth Financing Initiative (CGFI), you’ll pay a lower interest rate as long as the asset is used to reduce the environmental impact of your business.
What can you use green asset finance for?
From mopeds and cars to coaches and HGVs using electric, hydrogen, hybrid or biofuels.
Biomass boilers, ground source heat pumps, water or air source heating and solar water heating.
Machinery that improves efficiency, reduces environmental impact or supports the production of sustainable products.
How green asset finance can help your business
Does your business qualify for green asset finance?
- Available to new and existing Lloyds Bank customers.
- The asset must be for use in your business and linked to a qualifying green purpose
- Minimum funding amount is £25,001.
- Your turnover must be more than £3 million per annum.
- You must have been trading for a minimum of 24 months and be UK-based.
Qualifying green purposes
Finance is available for assets that support:
- Reduction in carbon and greenhouse gas emissions for core business processes, properties and infrastructure.
- Energy efficiency, renewables, environmental sustainability improvements or production of related products.
- Investment in low carbon vehicles and transport.
- Investment to improve water efficiency.
- Investment to reduce waste or improve recycling rate.
How to grow your business
To grow a resilient business that’s around for the long term, you must plan for sustainable growth. That means understanding the current situation and having a vision for the future.
Reduce tax with green asset finance
The Annual Investment Allowance (AIA) is a regular capital allowance which applies to purchased assets that are used and kept within a business. Some or all of the asset’s value can then be deducted from profits before tax is applied. The AIA limit is currently set at £1,000,000.
Other borrowing options to support sustainability
From investing in clean growth to improving the energy efficiency of buildings and vehicles, we offer a range of tools, products and services to help your business achieve its green and Net Zero ambitions.