Glasgow City Council recognises that reaching net zero and building resilience to climate change is a challenge for businesses. To help meet this, and to help address the challenge of rising energy costs, as part of its Green Deal, the city council has introduced a new Green Business Grant and a programme of targeted Green Business Support for small and medium-sized enterprises.
The programme builds on national programmes to enable changes that will reduce the impact of the energy crisis whilst tackling climate change. It is part of Glasgow's Green Deal, a nine-year mission to transform the city's economy to tackle the climate and ecological emergency.
Green Business Grant
- A non-repayable grant of up to £10,000 to reduce energy bills and help businesses make progress towards net zero carbon emissions.
- The grant can be used to fund up to 50% of the total cost of a project.
- It can be used for anything that will help a business make progress towards net-zero carbon emissions and result in long-term sustained reductions in energy bills.
The grant is now open for applications for businesses with a postcode registered in Glasgow. It will close to new applications on 20 December 2024 or when budget is fully allocated (whichever is earlier).
What can the grant be used for?
The grant can be used to fund anything that will help a business make progress towards net-zero carbon emissions and result in long-term sustained reductions in energy bills.
Staff time or wages, including recruitment costs are not an eligible activity under this grant.
There are a number of criteria which businesses must satisfy to be eligible:
- You should be a community interest company, limited company, limited liability partnership, public limited company, sole trader or legally constituted third sector organisation
- The grant is only available to Small and Medium-sized enterprises, as defined in sections 382 (small) and section 465 (medium) of the Companies Act 2006 (see here and here for more information). This defines businesses based on turnover, balance sheet total and / or number of employees:
Two or more of the following:
1. Turnover: Not more than £10.2 million
2. Balance sheet total: Not more than 5.1 million
3. Number of employees: Not more than 50
Two or more of the following:
1. Turnover: Not more than £36 million
2. Balance sheet total: Not more than £18 million
3. Number of employees: Not more than 250
- Businesses must have been trading for at least 6 months.
- Businesses must be located in Glasgow City Council Area and paying non-domestic rates in Glasgow. (Postcode checker https://www.mygov.scot/find-your-local-council)
- Please also be aware there have been some recent changes to the Small Business Support Scheme. Details of these changes can be found here.
- Businesses must be headquartered in Glasgow - premises of an organisation based outside Glasgow will not be considered. Businesses whose main base is within the City Boundary cannot use the grant to improve premises or create jobs outside Glasgow.
- Businesses must be the premises owner or provide written permission their landlord to confirm business has explicit permission either as the building owner or tenant to make changes to the premises including seeking planning permissions where this is necessary from Glasgow City Council Planning Division to implement the works detailed in this application if applicable.
- Businesses must provide confirmation the business operates from commercial premises within the Glasgow City Council area, for which there is a signed lease / rental / licence agreement in place and that it still has at least 2 years left to run.
- Businesses must be compliant with Minimal Financial Assistance threshold of £315,000 over the current andthe previous two financial years. The threshold will not be exceeded by the amount the business will receive if grant award is approved.
- For grants that are to be used alongside the Business Energy Scotland loan facility, the businesses must not be owned by another business with more than 25% stake.
- Businesses must not be engaged in any activities such as gambling or other industries that could be deemed unethical.
The following are not eligible for funding:
- Businesses who possess undischarged bankrupts, subject to insolvency proceedings or an individual who has entered into an arrangement with his/her creditors (including a trust deed)
- Businesses who are tenants of Glasgow City Council or any other ALEO's
- Registered Social Landlords
- Property Managing Company
- Property Management Agent
- Community Groups
- Voluntary Organisations
Applications to this fund are limited to one application per business. Subsequent applications will not be considered at this time.
The Grant can be used to fund anything that will help a business make progress towards net-zero carbon emissions and result in long-term sustained reductions in energy bills. Suggested uses include:
Improvements to building fabric and equipment such as:
- Upgrading the efficiency of heating, ventilation, and air conditioning.
- Renewable heat technologies such as installing an air source heat pump, ground source heat pump or biomass boiler.
- Improving insulation, draught-proofing, or installing new doors, or double/secondary glazing.
- Installing renewable electricity such as solar panels or wind turbines
- Installing LED lighting.
- Improving the energy efficiency of business equipment or machinery.
Supporting the switch to active travel or Electric Vehicles:
- Provision of shower facilities or active travel infrastructure such as cycle racks
- Installing EV infrastructure on premises
Waste Minimisation, Recovery and Reprocessing:
- Projects that will result in a reduction in waste production.
- The installation of equipment to assist with recovery and reprocessing of waste streams.
- Projects that close the loop on resources that would otherwise be wasted (circular economy).
- The grant can be used to fund up to 50% of the total cost of a project. For energy efficiency and renewables, the grant can be used to extend the existing national Business Energy Scotland support, subject to satisfying their eligibility criteria.
On application you will need to supply evidence that the project will result in reductions in energy use and/or carbon emissions. This could be from a Scottish Enterprise assessment, or from an independent consultant. In limited cases we will accept evidence of current energy use / conditions of products and the new type to be provided.
Match funding requirements
- Grant can be used to fund up to 50% of the total cost of a project.
- Grant applications focusing on energy efficiency and renewables are encouraged to be used alongside the national SME Loan Fund and cashback to maximise the impact.
- Match funding can be provided from a range of sources, including the businesses own capital, or from other public sector grants. In such cases where public funding is used to match the Glasgow City Council Green Business Grant, GCC deems grant funding from other public sector sources as eligible spend, but it is the responsibility of the applicant to ensure the other providers are similarly comfortable.
The final grant will be subject to specific Terms and Conditions set out in an individual grant award letter.
If you're unsure whether or not your business would be eligible, you can get in touch with us by emailing Business Growth.
The programme cannot support projects that have already started. Any outstanding debts to Glasgow City Council will be taken into consideration.
- Complete and submit the online application form.
- On the form you will need to specify the area of interest for the grant and/or business advice and support (e.g. energy efficiency, renewables, active travel/EV, or green job creation).
- As part of the application process, you will need to supply evidence that the project will result in reductions in energy use and/or carbon emissions. This could be from an independent appraisal, or from evidence of current energy use/ conditions of products and the new type to be provided.
Supporting Evidence requirements:
Applicants will be required to submit supporting evidence as part of their application.
Proof of trading more than 6 months
For example one of the following - Valid business insurance or VAT registration number, marketing materials for business e.g business website or a trading account with a wholesaler
Proof of Business trading address
A copy of recent Non-Domestic rates letter, copy of Business Premises Lease
Business Bank Statement
A bank statement dated within the past three months will be required as part of the application process. This should be from a dedicated business bank account. However, personal accounts will be accepted where the bank statement shows clear evidence of business transactions.
A copy of the most recent set of audited accounts
If match funding is being provided by another grant source, you will need to supply written confirmation that this funding has been secured (e.g. an award letter), before your GCC Green Business Grant funding application will be authorised
Quote for proposed works
Detailed quote for works to be carried out
Environmental /Climate Plan
Where relevant, businesses will also be required to submit evidence of how the grant will support a wider corporate environmental or climate plan, and will result in carbon reductions as well as wider social, environmental and economic benefits
Conditions of support
- A condition of the grant is that applicants will be required to provide data on the impact that the grant has made on energy use and/or carbon emissions
Other General Conditions
- Applications are recommended subject to the discretion of a Business Adviser or Economic Development team member. If you are already engaged with a Business Adviser, please contact your Adviser to discuss an application. If you are not currently engaged with Glasgow City Council Business Support team please contact the team at GreenBusinessSupport@glasgow.gov.uk
- Interim payments can be made to allow for management of the project. This is subject to the funding panel. However, no payment will be made in advance of works taking place.
- Interim payments will be made on proof of works carried out (copy of suppler invoice and proof of payment being made e.g copy of business bank account showing payment).
- 10% of the funding will be withheld until 12 months after initial funding payment has been made. The final 10% of funding will be paid upon receipt of 12 months monitoring report detailing the impact the grant.
- Applicants will not be able to use any supplier with which they have a personal connection to undertake the works funded by the grant.
- A business can only receive one award through the GCC Green Business Support Grant.
- The grant programme closes to new applications on 20 December 2024 or when budget is fully allocated (whichever is earlier).
- The final grant will be subject to Terms and Conditions set out in an individual grant award letter.