European cut-rate loan scheme for environmentally-aware SMEs

30 June 1997

European cut-rate loan scheme for environmentally-aware SMEs

The European Commission has announced a scheme whereby small and medium sized
enterprises will be able to apply for cut-price loans for environmental
investments.

Examples of eligible investments under the new Growth and Environment loan
guarantee pilot scheme include treatment and/or protection of soil and ground
water, recycling of waste material, new machinery that reduces energy
consumption and renewable sources of energy such as wind or solar
generators.

Barclays will operate the scheme in Britain. It will be available from
September. The European Union will pay half the guarantee premium on loans up to
Ecu1m (£700,000) via the European Investment Fund.