Tesco partners with NatWest on sustainable farming finance scheme

Tesco and NatWest have partnered to provide a finance scheme for farmers who want to switch to sustainable farming methods.

The programme, which has been designed with input from farmers, will help around 1,500 farms with the costs of installing technology such as solar panels and heat pumps.

Farmers who are part of Tesco’s Sustainable Farming Groups for beef, lamb and dairy are able to access the scheme.

The financial support package has been arranged though Lombard, which is the UK’s largest asset funder and part of NatWest.

According to research by Tesco, more than half of farmers want to make changes but need help accessing finance to support them.

Sustainable farming often requires up-front investment in equipment which can create obstacles for farmers.

Should the scheme prove successful, Tesco said it could be rolled out to more farmers in the future.

The supermarket set up its first sustainable farming group in 2007 to support dairy farmers during periods of economic uncertainty. Since then, it has created a range of Sustainable Farming Groups including for cheese, milk, beef and lamb.

Ashwin Prasad, Tesco Group chief commercial officer, said the food industry has a role to play in maintaining food security as well as protecting the environment.

“We have long-term, trusted relationships with our farmers and suppliers and are proud supporters of British agriculture,” he added. “We know a lot of our farmers are looking at ways to reduce costs on farm and move to renewable sources of energy at the same time, which is why we’re delighted to be partnering with NatWest in offering our green finance initiative.

“The initiative will provide our farmers with the confidence to invest in sustainable farming methods and infrastructure, while also helping us meet our target of reaching net zero across our supply chain by 2050.”

Share Story:

Recent Stories

The Very Group
The Very Group transformed range and assortment planning using Board.

Watch the full video

Smarter merchandise planning across the retail value chain
In this webinar, Matt Hopkins, Head of Retail Solutions, Board, Catherine Tooke, SVP Product & Planning, Sweaty Betty, and Subir Gupta, Managing Principal, Thought Provoking Consulting join Retail Systems Editor Jonathan Easton to discuss the findings of the recent Retail Systems report The Merchandise Planning Challenge: How are retailers harnessing technology to optimise planning and retain customers? and examine the innovations that are improving retail planning.