Green SME Fund

Designed to make investing in sustainable solutions more accessible and rewarding for businesses

At a glance

  • Get 1% cashback on the loan value*.

  • Available to UK SMEs with a group annual turnover of up to £25m.

  • 90% of the loan proceeds must be applied in alignment to one of the categories in our Green SME Fund Eligibility Guide.

    Eligibility criteria and T&Cs apply.

  • For loans of £25k and below a Representative 7.1% APR*** applies. Lending is subject to credit status

  • Products available through the fund include: Flexible Business Loan, Commercial Mortgage, Property Development Loan, Recovery Loan Scheme, Small Business Loan and Asset Finance including: Hire Purchase, Finance Lease, Asset Loan.

Check your green eligibility

Find more details about eligible projects or activities in our Green SME Fund Eligibility Guide.


Read more



Register for the Green SME Fund

Start your sustainability plan

Start your journey to become a more sustainable business in just three easy steps with our Sustainability Assessment Tool.


Start here now

* The 1% cashback may be available to customers who can evidence that at least of 90% of their term loan has been applied for “green” purposes under the Eligibility Criteria. The cashback payment is calculated as 1% of the aggregate drawdowns in the 12-month period after the first drawdown.

**REP APR is the advertised rate (or a lower rate) we reasonably expect at least 51% of people who are accepted for and enter into the loan agreement as a result of the advertising or marketing will pay.

Key benefits

Get 1% cashback on the loan value*.


For loans of £25k and below, a Representative 7.1% APR*** applies. Lending is subject to credit status

Meet changing customer demands by boosting your green credentials.
Available for your business subject to you using loan proceeds to finance a range of green activities and to make your business more sustainable**.
Drive efficiency in your business through developing more sustainable practices.
Demonstrate your commitment to sustainability with investment in green projects.

* The 1% cashback may be available to customers who can evidence that at least of 90% of their term loan has been applied for “green” purposes under the Eligibility Criteria. The cashback payment is calculated as 1% of the aggregate drawdowns in the 12-month period after the first drawdown. For loans of £25k and below a Representative 7.1% APR applies.

** T&Cs apply

*** REP APR is the advertised rate (or a lower rate) we reasonably expect at least 51% of people who are accepted for and enter into the loan agreement as a result of the advertising or marketing will pay.

Eligible Green Categories

A variety of different applications of your loan might be eligible for cashback, including those listed below. These categories are indicative and capture the most commonly used types of green projects.

  1. Renewable energy (solar, wind, hydro, waste, heat pumps, transmission and distribution lines)
  2. Energy efficiency
  3. Pollution prevention or control
  4. Environmental sustainable management of living natural resources and land use
  5. Terrestrial and biodiversity conservation
  6. Clean / sustainable transport
  7. Sustainable water and water waste management
  8. Waste management
  9. Climate change adaptation
  10. Eco-efficient circular economy
  11. Green buildings or developments
You can find more information in our Green SME Fund Eligibility Guide.

Cashback Calculation Examples

Here are some examples of how the cashback* calculation will work. Please note: if 90% of the loan is not applied towards eligible purposes then no cashback is payable:

  • A self-employed electrician working in London would like to borrow £25,000 to purchase an electric van. This will enable them to drive an efficient vehicle and reduce costs through congestion charge areas and ultra-low emission charges. They would like to use the HSBC UK Green SME Fund to access the cashback. As more than 90% of the loan was used for eligible purposes, the cashback will be provided on the total loan which equates to £250.
  • A company looking to retrofit solar panels to production facilities to support the generation of renewable energy will cost £10,000 and upgrading vehicles to fully electric will cost £120,000. Total approved loan £130,000. As at least 90% of the loan was used for eligible purposes they will receive cashback on the total loan value which equates to £1,300.

* The 1% cashback may be available to customers who can evidence that at least of 90% of their term loan has been applied for “green” purposes under the Eligibility Criteria. The cashback payment is calculated as 1% of the aggregate drawdowns in the 12-month period after the first drawdown.

Cashback calculation

If you are eligible for a cashback payment, it will be in an amount equal to 1% of the eligible loan you draw down in the first year of your facility*

*The first year is calculated as the period of one year beginning on the date of your first draw down of an eligible loan and ending one year after this.

Important information

Check your green eligibility

Find more details about eligible projects or activities in our Green SME Fund Eligibility Guide.


Read more



Register for the Green SME Fund

Start your sustainability plan

Start your journey to become a more sustainable business in just three easy steps with our Sustainability Assessment Tool.


Start here now

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