Loans up to £100k are available to help you install energy and carbon-saving upgrades in your enterprise. The loans are interest free over max term of 8 years. You could also receive a cashback grant of up to £30k.

What can the funding be used for:

An SME loan can be used to finance the installation of a range of eligible measures including:

• heating, ventilation, and air conditioning upgrades.
• renewable heat technologies such as installing an air source heat pump.
• improving insulation, draught-proofing, double or secondary glazing,
• installing LED lighting.
• installing solar thermal systems, wind turbines and biomass boilers.

Local Energy Scotland manages CARES (Scottish Government’s Community and Renewable Energy Scheme). 

CARES can support a wide range of projects including installing renewable technologies in community buildings, community benefits and shared ownership.

They offer the following funds:

• CARES Community Buildings Fund (This fund helps communities reduce their building energy costs and carbon emissions by installing renewable technologies. Grant funding is available for up to 80% of eligible costs, up to a maximum of £80,000. Currently open for applications. This fund will close to new applications at the end of October 2025, or until funding is fully allocated, whichever is sooner).
• Community Energy Generation Growth Fund (This fund supports community groups across Scotland to develop renewable energy projects, including onshore wind, solar photovoltaic (PV) and hydro, targeting projects that can deliver a specific and significant milestone before February 2026. This fund will close to new applications on Wednesday 25 June 2025).

Renewable Energy Fund (REF) Grants

This fund is for capital projects within 10km of a participating renewable energy development. 

There are 42 participating windfarms contributing a total of approximately £2.2m per year for communities in South Lanarkshire. The level of funding available depends on the proximity to a contributing windfarm and the scale of the windfarm.

Capital projects are usually long-term projects to acquire, develop, improve and/or maintain a capital asset such as land, buildings or roads or one off activities.

Revenue cost projects can only be used for a specific project with full cost recovery. Revenue funding including running costs such as salaries, heating, lighting, administration, consumables, and small items of equipment to deliver projects that meet local and REF priorities.

Funding for up to 3 years may be available, subject to project and available funds.

Projects must

• show strong alignment with REF priorities
• demonstrate clear outcomes representing value for money
• deliver against local community action plans if they are present
• create job descriptions for any posts being funded 

The two grant options are:

Main renewable energy fund - grants over £20,000 up to 75% of total 'eligible' costs dependant on project and available funds, 100% grants may be available in higher funded areas. These grants will be awarded on a quarterly basis. See the guidance on grant scale and application deadlines.

Small grant scheme - grants of less than £20,000 can be funded up to 100% of total 'eligible' costs dependant on available funds for community-based projects.