LENDERS Core Report
Improving energy costs in mortgages, promoting energy efficiency in homes.
Privately owned residential properties represent approximately 15% of the UK’s overall carbon emissions, but the 14.9 million privately owned homes are also one of the most difficult built environment sectors in which to implement energy efficiency improvements.
With approximately £127bn of mortgage lending each year, the mortgage process presents a potential opportunity for influencing homebuyers’ views on energy performance and encouraging property energy improvements. At present though, lender calculations, used to determine how much mortgage customers can repay, take no account of how their fuel bills vary with the property’s energy efficiency.
The LENDERS project was set up to analytically examine the link between property energy efficiency and fuel bills, and ways in which this link could enable homes with better energy performance to be able to demonstrate lower fuel costs in a way that can be passed on as a tangible benefit to homebuyers.