Barclays Commercial Bank has launched a cashback scheme for business customers who borrow for projects that benefit the environment.

It was prompted by Barclays’ research showing that a third of businesses in Kent and the south east now see the green agenda as an opportunity.

The bank is working with the European Investment Bank (EIB) to make £50m available to the scheme.

Cashback payments of between £600 and £51,000 will be made for a range of capital expenditure projects costing between £200,000 and £17m, provided that certain conditions are met.

The projects could involve investment in low carbon plants or machinery, or relocation to more energy efficient premises.

Roger Cowap, Kent area director for Barclays Commercial Bank, said: "The bottom line benefits to businesses in Kent and the south east operating more responsibly are becoming increasingly acknowledged.

"Our research shows that 30 per cent of companies in the region now see the green agenda as an opportunity rather than a challenge. We are committed to supporting customers that are reducing their environmental impact and this scheme will further encourage sustainable business practices by reducing the cost of borrowing."

The scheme is available for loans between £100,000 and £8.5m, with a minimum term of five years. It must support a capital investment project that has not previously received EIB benefit and is applicable to businesses that have fewer than 250 employees.

The loan scheme coincides with the bank’s sponsorship of the Green Leaders in Business Awards which will reward enterprises across the UK and Ireland that are working on new solutions to environmental challenges.

The deadline for entries is May 9, More details at www.barclayscommercial.com/greenleaders