Green Impact Fund

Ministry of Housing, Communities and Local Government

Due to the unexpected high demand, we have suspended the Expression of Interest call for the Green Impact Fund. Should there be any unallocated budget after processing the current applications, we will reopen the call for expressions of interest.

In the meantime, you may contact us via email at green.grants@devon.gov.uk if you wish to be placed on a waiting list for the Green Impact Fund or if you want to receive updates regarding the programme.

Introduction and background

The Green Impact Fund (GIF) programme is a £1.8 million capital grant scheme funded by the UK government as part of the Devon and Torbay Devolution Deal and managed by Devon County Council.

The GIF aims to support local business and community organisations to implement decarbonisation measures, reduce energy use and lower their carbon footprint for more sustainable operations.

The Fund is available to businesses and community organisations located within the Devon and Torbay area (Torridge, North Devon, Mid Devon, East Devon, Exeter, Teignbridge, South Hams, West Devon and Torbay).

Awarded grants must be spent by 31 March 2025.

GIF objectives are to:

  • widen the adoption of decarbonisation among local businesses and community organisations
  • lower operational costs for businesses while boosting productivity
  • generate and secure employment opportunities
  • make significant investments in the local green job market
  • create case studies to improve understanding of the decarbonisation opportunities available to the business and community sectors

All applicants must show how their project will support them in implementing decarbonisation measures.

Businesses or organisations that have a decarbonisation plan or energy assessment completed will have priority in the grant scheme.

Businesses or organisations that don’t have a decarbonisation plan, but are successful in the application stage, will be supported to identify the best option for decarbonising their business or organisation.

Resources to assist businesses or organisations in finding out how they can calculate their carbon footprint and reduce their carbon emissions are available from:

Who can apply 

Organisations located and operating in the Devon and Torbay areas who are:  

  • private businesses 
  • public organisations 
  • voluntary organisations or agencies 
  • charities  
  • community groups 
  • social enterprises
  • community interest companies

Please note that non-constituted groups and organisations that have reached the Minimal Financial Assistance (MFA) subsidy level of £315,000 in the last three years are ineligible for funding. 

How much can be applied for

You can apply for a minimum grant of £5,000 and a maximum grant of £49,999.

The intervention rate (the proportion of overall project costs available) depends on the constitution of the business.

Type of organisation Capital Intervention %
Revenue-generating enterprises Up to 80%
Non-profit organisations Up to 100%

An organisation may apply for more than one project provided that the total grant sought across the projects does not exceed the above maximum amounts.

For any item over £1,000 in your project budget, you must provide written quotes to justify the cost. Items worth between £1,000 and £2,500 require two written quotes, while items between £2,500 and £10,000 require three written quotes.

For items worth more than £10,000, please invite three organisations to submit written formal quotations based on written specifications. The quotes must follow the same specifications and must be submitted with your application.

Sometimes it is difficult to determine whether costs are revenue or capital. We have provided a guide below, however, if you have any questions, please feel free to contact the programme team at green.grants@devon.gov.uk.

What can be defined as capital expenditure

Capital expenditure results in the acquisition of, construction of, or addition of subsequent costs to an asset. This could include upgrading existing systems, improvement works which significantly extend the life of an asset, or its service potential, for example, changing to an air-source heat pump or Solar PV.

Please note that the purchase of electric vehicles is not permitted under this grant scheme.

Example decarbonisation measures

  • Solar PV
  • Solar thermal
  • LED lighting installation
  • EV Charger
  • Electric heating or heat pump
  • Battery storage
  • Green manufacturing and product development equipment
  • Scientific equipment for green solutions (non-disposable)
  • Bike storage and associated facilities
  • Equipment for reducing waste

If the work your organisation is going to undertake increases the service potential of the asset in question, and the costs can be reliably measured, then they may be defined as capital expenditure.

If you are unsure if a cost is eligible contact the programme team who will be happy to help.

You can use other public money to pay for eligible costs – but only up to that maximum percentage. The remaining project costs must be paid for with money from private sources like savings or a bank loan.

More information

  • Costs not eligible for funding

    The following are not eligible costs for Green Impact Fund purposes. This list is not exhaustive.   

    • Any costs incurred before the project start date proposed on the grant agreement 
    • Any items which you have already had EU or other public funding for (or intend to get EU or other public funding for) 
    • Recoverable VAT 
    • Proposals that are carried out only to meet a domestic legal requirement 
    • Bad debts 
    • Costs of arranging, financing or securing additional grants and funding streams 
    • Staff costs and salaries 
    • Contingency costs 
    • The cost of getting any permissions or consents, such as planning permission 
    • Relocation costs – if the business needs to relocate in order to expand, it can only apply for funding for the cost of the expansion 
    • Costs associated with the provision of housing 
    • Existing fixed overheads of the business 
    • Repairs and maintenance of existing buildings, equipment and machinery 
    • Like-for-like replacement of existing items (such as buildings, equipment and machinery) 
    • Purchase of land  
    • Purchase of buildings for a commercial project 
    • Generic development of workspace or offices within a redundant building. For example, where there is no end user specified at the start of the project 
    • Computers, software and printers used in the general running of the business, like processing orders or accounts, not solely necessary to run the project 
    • Advance payments 
    • Insurance policy costs 
    • Working capital 
    • Financial charges, such as bank charges, fines and interest 
    • Revenue costs
    • Electric vehicles 
  • Subsidy control

    All applicants must also consider how they will deliver in line with subsidy control as per UK government guidance – as well as all other relevant legal obligations such as procurement.

    This will be tested as part of the appraisal process and monitored thereafter.

    Has your business already had some public funding?

    If you have had previous public funding it is important that you let us know so we will check that you are within the subsidy limits and eligible to receive public funding under this grant scheme.

    The current threshold for subsidy is £315,000 in a three year rolling period. If you have received funding beyond these limits, we might need to limit the amount of the funding you can get, to comply with the subsidy rules.

  • Paying for the project

    Grants will be paid in arrears and normally in stages dependent on your timescales and outputs or milestones. We expect you to make a maximum of two claims over the course of the project.

    You must show that you have sufficient funds to pay for the project costs until you claim for and are paid the intervention Grant Payment.

  • Match funding

    Match funding (the balance of the total project costs payable not including grant funds) must be in place before grant funding can be given. We need to see proof of match funding submitted with your GIF Application.

    The grant scheme offers an intervention rate of up to 80% for business organisations and up to 100% for community organisations.

  • Timescales

    All projects must be able to deliver, show defrayal and claim all project costs by 31 March 2025.

    Defrayal means that any agreed eligible costs must be paid in full. Items can only be declared as fully defrayed if evidence is provided that the payment for the item has left the purchaser’s bank account.

    Please note that when credit cards are used to obtain items they are not fully defrayed until the payment has been made to the credit card issuer in full for the period that the item was purchased.

Application guidance

Due to the unexpected high demand, we have suspended the Expression of Interest call for the Green Impact Fund. Should there be any unallocated budget after processing the current applications, we will reopen the call for expressions of interest.

For reference, please see the detailed application process and guidance here.