An ethical banking specialist has backed the organic catering industry with a new intiative.
Caterers and restaurants across the UK which have gained the Soil Association’s Food for Life Catering Mark are set to benefit from a special lending rate from Triodos Bank.
Triodos Bank has ring-fenced £5 million which it will lend at a one per cent discounted rate to restaurants and caterers who have been awarded the mark.
If successful, the new initiative could support around 70 businesses and help to increase the number of caterers meeting the highest sustainable food standards.
If caterers take advantage of the full £5 million offered at the discounted rate, they could save a total of £50,000 each year, and potentially £900,000 over 25 years.
It will also give the discount to silver award-holders who are actively working to attain gold. The awards encourage caterers to use more fresh, seasonal, local and organic ingredients, high welfare meat and fish from sustainable sources.
Ian Price, manager of Triodos’ farming, food and trade team, said: “There’s a huge environmental imperative to move to more sustainable procurement across the whole of the food chain, matched by growing public appetite for local and organic food. We hope our new initiative will provide an extra incentive to restaurants and caterers to go for the gold Food for Life Catering Mark and provide more of the good food people are crying out for.”
Triodos has pledged the discounted borrowing rate to businesses that meet the gold standard and hopes in particular to encourage silver award-holders to move to the highest award. Businesses borrowing £500,000 for instance could save up to £3,500 each year, providing significant funds towards the costs of becoming more sustainable.
Mike Bond, catering mark manager at the Soil Association said:
“The Food for Life Catering Mark gives people an independent guarantee that their food is fresh, free from controversial additives and better for animal welfare. Triodos stands out among banks as one that really puts its money where its mouth is, and we hope this initiative will provide support for caterers to move towards even higher standards of sustainability.”
The offer is open to new borrowing customers that meet Triodos Bank’s lending criteria. Minimum lending is £25,000 and businesses will be assessed on their financial performance as well as their social and environmental impact.
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