According to the Government small firms can save money, reduce their carbon footprint and improve premises with no upfront costs with the new Green Deal scheme, which comes into effect next year.
Small businesses will be able to access Green Deal finance from accredited providers, which will operate a pay-as-you-save framework. The details are yet to be confirmed but likely partners include high street banks and the Carbon Trust, which already offers interest-free ‘green’ loans to businesses.
A Department of Energy and Climate Change spokeswoman claims: “It’s a huge market opportunity for small and medium-sized businesses. Making energy efficiency improvements will produce big savings. By reducing their bills, firms will be protecting themselves from future price rises.”
The Government has said that in addition to saving money and reducing energy consumption, the Green Deal will also create significant opportunities for small businesses in the energy, heating and building services sectors.
In response to the Government’s scheme, Rhian Kelly, CBI Director for Business Environment, has described the Green Deal as having “great potential” for small UK firms, however she feels that more detail is needed about how it would work.
“Businesses have reservations about whether people are going to buy into it,” she said. “Without public understanding and enthusiasm for the scheme at its launch it will be difficult to attract the initial investment.”