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    Last update 19/07/2025

    2025 Grants and Loans for Small Businesses in Islington (UK-Wide Guide)


    Introduction

    This guide outlines the most up-to-date national and local grants and government-backed loans available in 2025 to support startups and small businesses in Islington and across the UK. It includes official, fully clickable links and is optimised for SEO and online readability.


    Available Grants

    🔹 Circular Economy Grant

    • Purpose: Help small businesses reduce waste and adopt sustainable practices.

    • Amount: Up to £5,000

    • Eligibility: Businesses with a trading address in Islington and fewer than 50 employees (islington.media)

    • Apply via: Islington Council website


    🔹 Cultural Events Grant

    • Purpose: For cultural events in town centres (Crouch Hill, Newington Green, Kings Square)

    • Amount: £5,000–£10,000 (islington.gov.uk)

    • Eligibility: Local businesses, associations, cultural/community organisations

    • Deadline: Past deadlines noted; check the council for the next round.


    🔹 Action for Race Equality (ARE) Business Resilience Programme

    • Purpose: Support micro and small businesses through workshops, consultancy and peer learning

    • Amount: Up to £2,000 grant (actionforraceequality.org.uk)

    • Eligibility: Islington-based micro or small businesses

    • Apply by: 6 September 2025 for the current cycle.


    🔹 Local Initiatives Fund (LIF)

    • Purpose: Councillor-led small grants for community or estate activities

    • Amount: Annual ward budgets up to £13,000 (islington.media, islington.gov.uk)

    • Deadlines: 22 May, 23 Sept, 22 Jan annually

    • Eligibility: Resident/voluntary/community groups in wards.


    Government-Backed Loans

    🔹 Start-Up Loans (British Business Bank)

    • Amount: £500–£25,000 per person

    • APR: Fixed 6%

    • Support: Includes 12 months’ mentoring

    • Apply: via GOV.UK Start-Up Loan portal


    🔹 Recovery Loan Scheme


    🔹 Peer-to-Peer Lending & Regional Funding

    • Access via platforms such as Funding Circle, iwoca, and Folk2Folk

    • Islington-specific: UK Shared Prosperity Funding allocated via GLA (£1.45 million) to support local businesses (islington.moderngov.co.uk)


    Local Council Support

    • Islington Council Business Support: One-to-one advice, financial guidance, recruitment support, energy savings (islington.gov.uk)

    • Retail Relief 2024/25: 75% business rates relief capped at £110,000 (islington.gov.uk)

    • Grow London Local: Expert business mentoring for micro/small enterprises in London (islington.gov.uk)


    Eligibility Guidance

    • Use GOV.UK Business Finance & Support Finder

    • Confirm UK registration, business plan, cash-flow forecasts

    • For local schemes, eligibility is based on address, team size, and council ward.


    Application Process

    1. Identify suitable grants or loans and check requirements.

    2. Gather documents: proof of registration, IDs, business plan, and financials.

    3. Apply online or via council portals.

    4. Attend interviews, clinics, or workshops if required.

    5. Observe deadlines, monitor communications for outcomes.


    Additional Tips

    • Build connections through networking (consider GMaxCard)

    • Seek mentoring via Start-Up Loans or council programmes.

    • Use digital tools from the British Business Bank, FSB, and GOV.UK.


    Contact & Further Information


    FAQs

    ▫️ What grants are available in Islington?
    Circular Economy (£5k), Cultural Events (£5–10k), ARE Business Resilience (£2k), Local ward grants via LIF.

     

    ▫️ How can I get start-up funding?
    Apply via the Start‑Up Loan programme (£500–£25k, 6% APR, mentoring included).

     

    ▫️ What is the Recovery Loan Scheme?
    A national lending programme for viable SMEs needing working capital or investment.

     

    ▫️ How do I apply for peer-to-peer finance?
    Through platforms like Funding Circle, iwoca, Folk2Folk, with varying terms.

     

    ▫️ Who qualifies for Circular Economy grants?
    Islington-based, under 50 employees, trading in the borough.

     

    ▫️ What is the ARE Business Resilience programme?
    Council partnership programme offering training, consultancy and grants of £2k to micro and small businesses.

     

    ▫️ How do I get business rates relief?
    Eligible local premises may receive up to 75% relief via the Islington Retail Relief Scheme until April 2025.

     

    ▫️ What council support is available?
    Advice on finance, recruitment, sustainability, and business rates, plus mentoring via Grow London Local.

     

    ▫️ How do I use GOV?UK funding tools?
    Visit GOV.UK’s Business Finance & Support finder for personalised search results.

     

     

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