The Waste & Resources Action Programme (WRAP) has appointed 10 new banks and leasing companies to its eQuip Residual Guarantee scheme. The eQuip scheme offers support in lease financing to recycling companies for recycling equipment.
WRAP hope to expand its scheme and help out more recycling businesses who have found it difficult to secure financial backing to lease equipment.
The new lessors will join the 10 existing panel members which include banks such as Alliance and Leicester Commercial Finance and Barclays Bank. The new panel includes: Close Asset Finance, Clydesdale Bank, De Lage Landen Leasing, Fortis Lease, HSBC Equipment Finance, ING Lease, JCB Finance, KBC Lease, Triple Point Investment Management LLP and Vision Asset Finance.
WRAP set up the scheme partly because it found that recycling companies were finding it difficult to obtain leases for vital machinery and equipment. It said that banks and other lenders were often reluctant to look at technologies they are not familiar with, especially in a sector as new and unproven as recycling. WRAP also wanted to stimulate investment in the recycling sector.
Head of business support Ian Wardle said: Since its inception in 2004, eQuip has made a significant contribution towards meeting UK recycling targets. To date, 358 assets have been guaranteed through eQuip, at a value in excess of £21 million. These assets have already diverted three and half million tonnes of waste from landfill and the demand for this type of activity is going to grow rapidly in the next few years. The extended panel of lessors will help the recycling sector to keep pace with this demand.
For more information see the WRAP Business Doctor