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Inboard Engine Finance

Spread the cost of marine inboard diesel engines from £8,000 to £90,000+ with flexible finance options. HP, lease, or refinance, compare rates from 40+ lenders.

Can you finance a inboard engine?

Yes, inboard engines are financed as a standard asset purchase, usually on hire purchase or a lease, with the machine itself acting as the security. UK prices typically run £8,000 to £90,000, and most deals are written over 24–72 months with a deposit of around 10–20%. Decisions typically take 24–48 hours. Used machines are financeable too, usually with a shorter term.

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Typical Cost

£8k – £90k

Approval Speed

24–48 hours

Same-day for < £40k

Rates From

5.2% APR

What would a inboard engine cost per month?

£30,000
10%
60 months
9%
£0

Your estimate

Indicative only. Not a quote and not an offer of finance.

Pre-filled with a typical inboard engine price. Indicative only, not a quote.

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Finance options

Hire Purchase (HP)

Rate
From 5.5% APR
Term
24–72 months
Deposit
10–20%
Ownership
Yours at the end
Best for
Owners wanting to own the engine outright

Finance Lease

Rate
From 5.2% APR
Term
24–72 months
Deposit
None required
Ownership
Return or buy (balloon payment)
Best for
Tax-efficient, claim the full lease payment against profit

Refinance

Rate
From 6.2% APR
Term
12–48 months
Deposit
None required
Ownership
You already own the engine
Best for
Releasing capital from an owned engine to fund other repairs

Representative example

On a purchase price of £30,000: a 10% deposit of £3,000, then 48 monthly payments of £633 at 5.9% APR representative (fixed). Total amount payable £33,384, including the deposit. The rate you are offered depends on your business and the asset.

What buyers actually specify

Guide prices for sizing a finance agreement, not quotes. Manufacturers in this market mostly price on application, so where a current UK list price could not be confirmed the row describes a specification class rather than naming a model. Your supplier quote is what the agreement is written against.

Machine or specification Guide price Type
Volvo Penta-class Marine Diesel, 150–230hp (spec class) £12,000 – £25,000 Mid-Range Marine Diesel Inboard
Yanmar-class Marine Diesel, 230–370hp (spec class) £20,000 – £40,000 Commercial Marine Diesel Inboard
Cummins-class Marine Diesel, 400–550hp (spec class) £35,000 – £65,000 High-Output Commercial Marine Diesel
Caterpillar Marine-class Diesel, 600hp+ (spec class) £55,000 – £90,000 Heavy-Duty Commercial Marine Diesel

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Tax benefits

Marine inboard engines used for business qualify for Annual Investment Allowance (AIA), letting you deduct the full cost from taxable profits in the year of purchase, up to £1,000,000. HP agreements let you claim capital allowances on the engine; lease payments are generally deductible in full against profits.

Market context

Inboard diesel engines are bought by fishing vessel and workboat owners, ferry and charter operators and marine engineering yards, most often as a repower of an existing coded hull rather than a new-build purchase, since a full re-engine can cost a fraction of a replacement vessel. Because the engine is going into a vessel that already holds MCA coding, lenders typically underwrite the application against the vessel and operator rather than treating the engine as a fresh coding question, though a significant power change can trigger a recoding review with the certifying authority. Inboard installations are more involved and time-consuming to remove than an outboard, which gives lenders a little more comfort over recovery risk, though the vessel itself remains a mobile asset. Engine hours, oil analysis and service records matter far more to used value than the calendar age of the block.

Bad credit?

Several of our 200+ lenders specialise in businesses with imperfect credit histories. You may need a larger deposit or personal guarantee, but options exist. Checking your options here does not affect your credit score, because we do not run a credit search to match you. A lender will run their own checks only if you decide to apply.

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Frequently asked questions

Can I finance just the engine, or does the whole vessel need to be included?
Most lenders will finance a standalone inboard engine, particularly for a repower or repair of a vessel you already own, since the installation itself provides reasonable security even without the hull. Where the engine is going into a newly purchased vessel, it's often simpler and cheaper to finance the engine and hull together on one agreement. Ask your broker to compare both structures, since some lenders price a combined vessel-and-engine deal more competitively than financing the engine in isolation.
Does re-engining affect my MCA coding certificate?
A like-for-like or modest power increase usually doesn't require recoding, but a significant change in horsepower, fuel capacity or stability can do. It's worth checking with your certifying authority before committing to a specific engine, since the answer affects both the project cost and what a lender needs to see before releasing funds. If recoding is needed, factor the survey and paperwork timescale into your project plan, since a lender will usually want confirmation the vessel remains compliant once the new engine is fitted.
Can I finance a used or reconditioned inboard engine?
Yes, most lenders will finance reconditioned or low-hours used engines, provided there's a service history and, ideally, a recent oil analysis or engine survey. A reconditioned block from a reputable marine engineering firm with a warranty attached will generally get better terms than a private-sale used engine with no paperwork. Ask the reconditioning firm for a written specification of the work carried out, since this document is often what a lender relies on to assess the engine's remaining working life.
How long does inboard engine finance take to arrange?
Straightforward repower applications under £40,000 with an established trading history are often approved within 48 hours. Larger engine packages, or those tied to a wider refit project, typically take longer while the lender reviews the installation quote and any survey reports. Having a fixed-price quote from your marine engineer, covering both the engine and installation labour, ready at application stage helps keep the process moving.

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