We report on a search for nuclear recoil signals from solar $^8$B neutrinos elastically scattering off xenon nuclei in XENON1T data, lowering the energy threshold from 2.6 keV to 1.6 keV. We develop a variety of novel techniques to limit the resulting increase in backgrounds near the threshold. No significant $^8$B neutrino-like excess is found in an exposure of 0.6 t $times$ y. For the first time, we use the non-detection of solar neutrinos to constrain the light yield from 1-2 keV nuclear recoils in liquid xenon, as well as non-standard neutrino-quark interactions. Finally, we improve upon world-leading constraints on dark matter-nucleus interactions for dark matter masses between 3 GeV/c$^2$ and 11 GeV/c$^2$ by as much as an order of magnitude.
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