Analysis from the Carbon Trust and Siemens has shown that the estimated market for energy-efficient equipment finance over the next three years in the Manufacturing sector is £4.6bn. However, manufacturers remain cautious about investing in equipment upgrades in a slowly recovering economy. To make such investment affordable, the Carbon Trust and Siemens have launched a scheme to provide UK manufacturers with 'green' equipment finance. This will boost green growth and unlock business investment in the low-carbon economy.

Enabling investment in such technologies as low-energy lighting, energy-efficient motors, low-carbon air-conditioning or biomass heating, the finance scheme will enable manufacturing businesses to invest in equipment that not only saves energy costs, but also often helps improve productivity.

Any business can apply for 'green' growth finance from the scheme, which is designed to match monthly payments with the equivalent savings from lower energy consumption. The Carbon Trust will provide an assessment of the carbon, energy and cost savings of any application for finance. Siemens Financial Services  in the UK (SFS UK) will provide financial backing and manage the provision of funding.

It is estimated that the Carbon Trust/Siemens energy-efficient equipment finance scheme will provide around £550 million in funding between 2011 and 2014, based on both organisations' previous experience. However, if financing demand is greater than this estimate, the scheme is capable of delivering higher financing volumes.