Low Emission Zone Support Fund for Businesses
What does this involve?
Eligible Scottish micro businesses and sole traders can apply for a £2,000 grant when they dispose of a vehicle that is not compliant with the Low Emission Zone (LEZ) standards in Glasgow, Edinburgh, Aberdeen and Dundee.
To be eligible, you must be operating a non-compliant vehicle within 20 kilometres of the LEZ and dispose of the vehicle through a SEPA-authorised treatment facility.
After you dispose of the vehicle and claim your grant, eligible businesses can apply for a further £1,000 in funding to purchase a cargo or eCargo bike to support your business operations.
Funding is subject to availability on a first come, first served basis until 31 March 2024.
This fund aims to help applicants avoid future LEZ penalties by shifting away from non-compliant vehicles and moving to cleaner transport options. It is expected that you will replace vehicles with sustainable travel options.
Am I eligible?
To be eligible for the Low Emission Zone Support Fund, you must meet all of the following criteria:
- your business must have an operating site within 20km of a planned low emission zone in Glasgow, Edinburgh, Aberdeen or Dundee
- your business must own a vehicle that does not meet the minimum emissions standards for low emission zones:
- Euro 3 or older petrol vehicles – this generally applies to those registered before 2006
- Euro 5 or older diesel vehicles – this generally applies to those registered before September 2015
- the vehicle must hold a current MOT and be taxed – if you are unsure, you can check online for your vehicle’s tax and MOT status
- the vehicle must be registered in the name of the business owner or under the business name
- you must have owned the vehicle before 17 September 2020 and use it for business operational purposes
Your business must also be an active micro business or a sole trader. To fit this definition, you must:
- employ no more than 9 full-time equivalent employees
- have a turnover of £632,000 or less, or a balance sheet of up to £316,000 in the preceding and current financial year
Full eligibility criteria can be found by following the link to the Energy Saving Trust website at the bottom of this page.
What does this cost?
This service is free to access. There is no cost to dispose of your vehicle through a SEPA-authorised treatment facility.
Who is this for?
Micro businesses and sole traders operating in and around Glasgow, Edinburgh, Aberdeen and Dundee.
How long does this take?
Funding is subject to availability on a first come, first served basis until 31 March 2024.
All applications are reviewed within 10 working days. Missing information can delay the payment of your grant.
Once a grant is offered, you’ll have 3 months to dispose of your vehicle with an authorised treatment facility and submit the paperwork to show this has been done.
Once your paperwork has been processed, the grant payment will be released and eligible businesses will then be invited to apply for cargo bike funding through Travel Better for Businesses.
Important information
You should not take action to dispose of the vehicle until you’ve received a grant offer letter.
Funding is subject to availability on a first come, first served basis until 31 March 2024.
Next steps
Visit Energy Saving Trust’s website to check eligibility and complete a self-referral form.
If you meet eligibility requirements, an application form will be sent to you.
