1. Executive summary
1.1 This year we published our first Sustainable Finance Framework (SFF). The establishment of the framework aligns our social purpose and low carbon strategy with our funding and financial strategy.
1.2 We are committed to investing in projects that support environmentally and socially sustainable outcomes for the benefit of society, the environment and identified target populations.
1.3 We will provide clear, relevant and transparent information to our stakeholders, wherever feasible.
1.4 In our first year of reporting we have chosen to include projects with significant eligible spend.
1.5 The below dashboard summarises eligible spend against key aspects related to our SFF.
2. Introduction
2.1 This year we published our first Sustainable Finance Framework (SFF). The establishment of the framework aligns our social purpose and low carbon strategy with our funding and financial strategy. We have selected a number of eligible areas, under financing description, which are fundamental elements of our business model and deliver the most positive societal and environmental impacts.
2.2 We are committed to investing in projects that support environmentally and socially sustainable outcomes for the benefit of society, the environment and identified target populations.
2.3 An amount equivalent to the net proceeds raised under this SFF will be used to finance and/or refinance in whole or in part new or existing eligible projects, subject to the International Capital Markets Association (ICMA) and Loan Markets Association (LMA) principles. The use of proceeds will not be used for activities that fall outside the framework’s activities and criteria.
2.4 We appointed DNV Business Assurance Services UK Limited (DNV) to independently verify our Sustainable Finance Framework and its alignment with the relevant ICMA and LMA Principles. We also received assurance on our methodologies for calculating use of proceeds in our impact reports.
2.5 We will provide clear, relevant and transparent information to our stakeholders, wherever feasible.
2.6 To enable investors to follow the progress and to provide insight into prioritised areas, We will annually, and until the maturity of the Sustainable Financing Instruments, provide investors with information within our Impact Report regarding the environmental or social impacts of the projects funded by the outstanding Sustainable Finance Instruments.
3. The homes we rent
3.1 Our impact report for the homes we rent includes eligible projects under the finance description of ‘retrofitting energy efficient homes’ under the LMA ICMA category of ‘energy efficiency’.
3.2 Each eligible project is summarised in a dashboard total and then broken down by measure or property to provide a comprehensive view of eligible spend.
4. The homes we build
4.1 The impact report for the homes we rent includes eligible projects under the finance descriptions of ‘new homes used for social housing’ under the LMA ICMA category of ‘Affordable homes’ and ‘New energy efficient homes’ under the LMA ICMA category of ‘Energy efficiency’.
4.2 Each eligible project is summarised in a dashboard total and then broken down by measure or property to provide a comprehensive view of eligible spend.
6. Summary dashboard
6.1 Measure, rent type and financial data has been extracted from our relevant systems at regular intervals throughout the financial year. This data has been evaluated in two dashboard spreadsheets under the homes we rent and the homes we build. Eligible spend by sustainability metric has then been calculated and reported.
6.2 In our first year of reporting we have chosen to include projects with significant eligible spend.
6.3 The below dashboard summarises eligible spend against key aspects related to our SFF.