NatWest pledges £ 100bn in funding ahead of COP26


NatWest is gearing up for COP26 by pledging £ 100 billion in funding for green small business loans and ‘green’ mortgages where homeowners pay lower rates if their property has a decent energy efficiency rating

  • Lender to offer green loans to UK-based small businesses
  • The company will also offer “green” mortgages to its environmentally conscious customers.
  • COP26 conference in Glasgow from October 31 to November 12

NatWest will increase lending related to sustainable and climate finance to £ 100 billion by 2025, he revealed today.

The move precedes the COP26 environmental conference in Glasgow on October 31, where countries will be pushed to step up their efforts to tackle climate change and move to less carbon-intensive economies.

NatWest said the money would be used in all of its operations and would include offering “green” mortgages with lower interest rates to customers buying homes with better energy efficiency ratings.

Green push: NatWest to increase sustainable and climate finance lending to £ 1 billion by 2025

Other uses of the money will include lending to projects that benefit the environment, such as renewables or electric vehicles, he said in a statement.

“This marks an acceleration in NatWest’s ambition to support the UK’s decarbonization and the government’s Net Zero strategy,” the company said, referring to the country’s goal of reducing greenhouse gas emissions. greenhouse by mid-century.

NatWest said a transition to net zero could create 30,000 new small businesses and 130,000 new jobs.

The lender will soon launch a ‘green loan ‘ for small and medium-sized businesses to encourage them to quit carbon wherever possible.

Group boss Alison Rose said: “SMEs play a vital role in the UK economy, contributing around 50% of total UK turnover and around 60% of employment.

“We have identified potential opportunities worth £ 160bn for SMEs and the UK economy, and we want to do everything we can to help our clients get a share of that prize.

“We are with them every step of the way that takes them from awareness and understanding to the ability to act and finally to achieving a positive climate and financial impact. “

NatWest said it aims to become “a leading bank in the UK and Ireland helping to tackle climate change”.

New era: NatWest boss Alison Rose is keen to strengthen the lender's environmental credentials

New era: NatWest boss Alison Rose is keen to strengthen the lender’s environmental credentials

Lord Nicholas Stern, President of the Grantham Research Institute on Climate Change and Environment and Special Advisor to NatWest, said: “In the 15 years since the publication of the Stern Review, governments and businesses have been slow to recognize the huge and growing threat climate change poses to economic development.

“This report from NatWest is timely and important.”

In the first half of the year, Natwest said it had achieved its annual target of providing £ 20bn in climate and sustainable finance and funding six months earlier.

Last week NatWest admitted three counts of failing to properly monitor £ 365million deposited into a client’s account.

This is the first time that a financial institution has been the subject of criminal proceedings under UK anti-money laundering laws.

The Financial Conduct Authority said NatWest failed to comply with anti-money laundering law requirements regarding the Fowler Oldfield Ltd account between November 2013 and June 2016. Fowler Oldfield was a centennial Bradford-based jeweler. It was closed following a police raid in 2016.

NatWest now faces a multi-million pound fine.

The lender, formerly known as the Royal Bank of Scotland, is still majority government-owned but is struggling to free itself from state control.

NatWest shares are currently down 0.17% or 0.40p to 229.40p.



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