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12/08/2026

Scottish Govt Lifts CARES Funding To £15m For Community Renewables

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Funding available through the Community and Renewable Energy Scheme (CARES) will rise to £15 million this year. The uplift will enable more organisations to develop local projects such as onshore wind and solar, and to lower running costs by installing technologies including heat pumps and solar panels.

Since its inception, CARES has provided more than £83 million to communities across Scotland, supporting over 1,200 initiatives and delivering 75 Megawatts (MW) of renewable energy capacity.

The increase was announced by First Minister John Swinney ahead of a visit to the Scalpay Community Centre in the Western Isles, which previously used CARES support to fit a heat pump, solar PV and battery storage.

Mr Swinney said: "We are moving beyond the idea of communities as passive hosts of energy infrastructure. Our approach supports them to become active partners by helping them to invest in, own and benefit from the clean energy future.

"That is why we are increasing the funding available from CARES to £15 million each year. More than 1,000 groups have already benefitted, empowering them to generate their own clean energy through local solutions, not only cutting emissions but also reducing costs and creating resilient communities.

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"I would encourage organisations who have not already applied to check what support they may be eligible for."

Gordon Ness, Chair of Scalpay Community Association said: "CARES funding has been instrumental in helping Scalpay Community Association SCIO transform our Community Centre into a more energy-efficient, sustainable and welcoming facility for everyone in our community. The support has enabled us to reduce our environmental impact while creating a warm, accessible space that will benefit local people for many years to come. Continued investment in CARES gives communities like ours the confidence to develop ambitious local projects that strengthen resilience, reduce carbon emissions and help secure a sustainable future for Scotland's islands."

CARES offers advice and finance, through grants and loans, to community organisations pursuing renewable energy, heat decarbonisation and energy efficiency projects. It is administered by Local Energy Scotland on behalf of the Scottish Government.

Scottish Government support will be complemented by £2 million per year from The National Lottery Community Fund, broadening opportunities for communities to progress local schemes.

Ministers also want to ensure communities benefit from renewable technologies and make best use of Scotland's land and assets. Guidance for public bodies will be refreshed to highlight how they can help groups deliver renewables on public land and encourage them to make land and buildings available for such projects.

In addition, the Government is assessing the potential to deploy solar technology in underused spaces so that more land and infrastructure can contribute to Scotland's energy ambitions.

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