Scottish micro businesses and sole traders can apply for a £2,000 grant when they dispose of a vehicle that is not compliant with the Low Emission Zone (LEZ) standards in Glasgow, Edinburgh, Aberdeen and Dundee.

To be eligible, you must be operating a non-compliant vehicle within 20 kilometres of the LEZ and dispose of the vehicle through a SEPA-authorised treatment facility.

After you dispose of the vehicle and claim your grant, you can apply for another £1,000 in funding to purchase a cargo or eCargo bike to support your business operations.

Funding is subject to availability on a first come, first served basis.

This fund aims to help businesses avoid LEZ penalties by switching from non-compliant vehicles to cleaner transport options. You'll be expected to replace your vehicle with a sustainable travel option.

To be eligible for this fund, your business must:

• have an operating site within 20km of a planned low emission zone in Glasgow, Edinburgh, Aberdeen or Dundee
• own a vehicle that does not meet the minimum LEZ emissions standards, including:
  • Euro 3 or older petrol vehicles – generally those registered before 2006
  • Euro 5 or older diesel vehicles – generally those registered before September 2015

Your vehicle must:

• hold a current MOT and be taxed – if you are unsure, you can check online for your vehicle's tax and MOT status
• be registered in the name of the business owner or under the business name

You must have owned the vehicle before 17 September 2020 and use it for business operational purposes.

Your business must also be an active micro business or a sole trader. To fit this definition, you must:

• employ no more than 9 full-time equivalent employees
• have a turnover of £632,000 or less, or a balance sheet of up to £316,000 in the preceding and current financial year

You can read the full eligibility criteria on Energy Saving Trust's website.

This service is free to access. There is no cost to dispose of your vehicle through a SEPA-authorised treatment facility.

Micro businesses and sole traders operating in and around Glasgow, Edinburgh, Aberdeen and Dundee.

Funding is subject to availability on a first come, first served basis.

Your application will be reviewed within 10 working days. If any information is missing, your grant payment may be delayed.

Once you're offered a grant, you'll have 3 months to dispose of your vehicle through an authorised treatment facility and submit the paperwork to show this has been done.

Once your paperwork has been processed, the grant payment will be released. Eligible businesses will then be invited to apply for cargo bike funding through Travel Better for Businesses.

You should not dispose of the vehicle until you've received a grant offer letter.

Funding is subject to availability on a first come, first served basis.

Visit Energy Saving Trust's website to check your eligibility and complete a self-referral form. If you meet the eligibility requirements, an application form will be sent to you.