Glenhawk launches end-of-term discount for improved EPC ratings

Glenhawk has launched its first sustainability incentive, offering an end-of-term discount for borrowers undertaking light or medium refurbishment who improve the EPC rating of a property.

Borrowers will benefit from a discount of up to 0.25% if improving to an EPC of C, or 0.50% for a B or above.

The incentive will be available until 31 May 2023 across Glenhawk’s unregulated refurbishment product range, for residential assets and commercial to residential conversions.

Current government regulations will require landlords to evidence their residential properties achieve a rating of C or higher by 2025 for any new rentals and all private rentals by 2028. Currently, 56% of properties, including 2.4 million privately rented homes, in England have an EPC rating below C.

Michael Clifford, commercial director at Glenhawk, said: “The UK has the oldest housing stock in Europe, which poses a significant challenge for landlords and property owners. Given real estate’s well publicised carbon footprint and the UK’s ambitious net zero targets, lenders like ourselves have an obligation to support borrowers in improving the energy efficiency of their properties. Aligned with our institutional backers, this is just the latest step on our sustainability pathway, with a more formalised product offering targeted for later this year.”