Leveraging Devolved Powers to Deliver the First-Ever Green Tax Incentives for SMEs: Sutton’s Green Enterprise Partnership

Local government plays a key role in tackling the climate emergency, yet supporting SME decarbonisation remains a challenge. Sutton has pioneered a solution using devolved powers to offer business rates relief to SMEs that achieve measurable emission reductions. This model allows the council to recover the costs of the relief while providing businesses with a 70% discount in business rates. Already delivering tangible results, Sutton’s approach is a replicable blueprint for councils to accelerate climate action within existing powers—demonstrating that bold, local innovation can drive the path to net zero.