Small businesses facing the squeeze are being helped to ride out the recession with the help of interest free loans aimed at slashing their energy consumption

Jeff Greenall’s family-run Cavan Bakery in Hampton Hill, south-west London, has cut its energy bills by 75% thanks to a loan of £31,000 from the Carbon Trust.

Greenall used the money to replace his old oven with one which runs on gas-powered steam. He said: ‘The changes we have made have had a real impact.’

The Carbon Trust’s coffers will this week be boosted by an extra £100m of government funding.

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