Tesco and NatWest have launched a discounted climate and sustainable finance scheme for 1,500 farmers, providing them with preferential rates on finance to help them switch to sustainable farming methods.

The voluntary programme, which has been designed with farmers’ input, will see farmers who are part of Tesco’s Sustainable Farming Groups for beef, lamb and dairy able to take part in the scheme, and gain access to Tesco preferred suppliers, with potential volume discounts offered on renewable energy assets.

Research shows that more than half of Tesco farmers want to make changes but need help accessing finance to support them to make the investment. Moving to more sustainable farming practices often requires up-front investments in equipment which can create an obstacle.

Tesco farmers will now have access to attractive funding solutions to help support a move to decarbonising their farms. Assets which are included through the new partnership cover solar panels, wind turbines, biomass boilers, LED lighting, battery storage and combined heat and power systems.

Tesco has set up a series of Sustainable Farming Groups, including for milk, cheese, beef and lamb and last year NatWest’s partnership with McCain helped potato farmers transition to sustainable agricultural practices by reducing financial barriers.

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