UK banking group NatWest announced on Tuesday the launch of its new product Green Mortgages. According to NatWest, the product offers a “preferential interest rate” to new or existing customers who are purchasing energy-efficient properties. The banking group explained:
“The Green Mortgage offers a discounted interest rate to customers purchasing a property with an Energy Efficiency Rating of A or B. Every home must have an Energy Performance Certificate (EPC) when it is built, sold or rented – this gives the property an energy efficiency rating from A or 100 (most efficient) to G or 0 (least efficient) and is valid for 10 years.”
NatWest further explained that the Green Mortgage product supports the banking group’s pledge to help customers to become more energy efficient with an ambition that 50% of its mortgage book is at or above EPC C or equivalent rating of C by 2030. Sharing more details about the product, Miguel Sard, MD of Home Buying and Ownership at NatWest Group, stated:
“We want to help home buyers to make greener choices, particularly as properties make up 15% of the UK total climate emissions and one of the core parts of our purpose as a bank is to help address the climate challenge. Our customers are increasingly interested in purchasing energy efficient homes and by offering those customers a lower mortgage rate, we want to have a positive impact on the environment. This is just one of many ways NatWest is supporting and encouraging greener choices.”
Andrew Day, Sustainability Director at Telford Homes, added:
“It is pleasing to see that NatWest’s corporate climate strategy is rewarding homeowners with a discounted green mortgage. This approach reciprocates well with increasing intergenerational customer demands for sustainable new homes, lower running costs and continuing to help make a positive contribution to the climate emergency.”