Danske Bank in Northern Ireland has launched the UK’s first mortgage certified as carbon neutral by the Carbon Trust.
The Carbon Trust has measured the carbon footprint of mortgage lending, which includes emissions that occur throughout the life of a mortgage. Physical documentation makes up the bulk of the trail, but other activities are accounted for, including energy consumption in Danske offices, digital paperwork at every step, waste paper generation, and a welcome box provided to customers.
The Carbon Trust has calculated that the emissions on a mortgage are 96 kg CO2-eq, which is the equivalent of running 241 miles on an average car or charging 11,678 smartphones.
To achieve carbon neutrality for our mortgage services, Danske is committed to reducing this carbon footprint annually and offsetting any remaining emissions by investing in projects that reduce emissions by the same amount as our mortgage loans.
Danske will work with carbon reduction professionals ClimateCare to offset the environmental impact of mortgages by supporting wind projects in India.
Initial Buyers, Movements and Switches with Home Energy Performance Certification (EPC) or Projected Energy Rating (PEA) AC are eligible to apply for a Danske Carbon Neutral Mortgage.
Eisling Press, managing director of personal banking at Danske Bank, said: “At Danske Bank, we already have zero carbon emissions in heating and electricity, which we use in our branches and offices. Therefore, the mortgage we provide for greener homes will not contribute to an increase in greenhouse gas emissions. It is certified by the Carbon Trust.
“Homes generate about 15% * of the UK’s greenhouse gas emissions, so improving the energy efficiency of our homes is critical in the fight against climate change. As a leading mortgage lender, we are responsible for supporting clients who choose a greener home. So we made our most competitively priced carbon neutral mortgage and launched a new cashback offering of up to £ 2,000. ”
John Newton, Associate Director of the Carbon Trust Advisory, said: “The Carbon Trust is pleased to certify Danske Bank’s mortgage services in accordance with the PAS 2060 specification, demonstrating the carbon neutrality of service delivery activities. The initiatives taken by Danske Bank to obtain this certification demonstrate the company’s commitment to continuously reduce and offset the carbon footprint of its mortgage product. ”
Chris Martin, Head of Climate Risk and Strategy at Danske Bank, added: “At Danske Bank, we are committed to reducing greenhouse gas emissions by 50% by 2030 and have developed a strategy to achieve this goal. We have already achieved significant reductions in emissions from our own operations, for example through more energy efficient heating systems, LED lighting, solar panels and changes to our automotive policies. We also provide employee sustainability training and have developed a climate literacy program in conjunction with Business in the Community for Enterprises. But a zero-carbon mortgage is the first step in developing environmentally friendly products and services, and we’re thrilled to have more to come. “
Danske Bank offers homebuyers up to £ 2,000 cashback on every home loan with a valid EPC AC rating **.