Skipton, the UK’s fourth-largest building society, has partnered with Rightmove’s new climate solution, which is driven by data from flood and climate data specialist Ambiental Risk Analytics.
The move supports Skipton’s ongoing work to deliver climate change regulatory requirements from the Bank of England and further strengthens its existing partnership with Rightmove, the UK’s biggest property website.
The partnership provides Skipton with flood, subsidence, coastal erosion and energy performance certificate (EPC) data, and support and training to help the Society meet ongoing regulatory compliance requirements.
Every property on the Society’s back book will be assessed for current and future risks over an 80-year timescale, based on various levels of carbon in the atmosphere and impact on the climate.
Flooding is an increasingly real risk in the UK and globally, posing a significant threat to infrastructure, people, and investments.
Six of the wettest years in history have occurred since 1998, and flooding is now considered the greatest natural disaster risk in the UK as one in six properties in England and Wales are at risk.
By 2050 another one million properties in the UK will likely be at risk of flooding, so the UK will increasingly feel the effects of climate change in the next few decades.
Aidan Walker, credit risk manager at Skipton Building Society said: “We’ve made big strides over the last few years in our sustainability and ESG activities, particularly in how we prepare for and respond to climate change. We’ve been working with Rightmove Data Services since 2008 using a number of services including their Automated Valuation Model, so investing in their climate change product was a natural progression. The severity and significance of climate change rightly demands our attention, and so analysis of our mortgage portfolio is invaluable to help understand and manage the physical and transitional risks it presents.”
Rightmove’s extensive EPC dataset includes the current and potential EPC rating of over 16.8 million homes, along with modelled ratings for a further 13 million homes.
Edward Burgess, strategic manager in data services at Rightmove, added: “We’ve put the Net Zero agenda at the forefront of our data analytics, and so developing a climate solution to satisfy the Bank of England requirements was a natural extension to the services we already offer Skipton and other mortgage lenders.
“We’re in a unique position having access to virtually the entire UK property market, and we know that how green someone’s home is will become increasingly important as the UK strives to hit Net Zero by 2050, making predictive data vitally important to help businesses plan for the years ahead.”
Skipton is the first UK building society recognised by Support the Goals, a not-for-profit initiative celebrating organisations which support the United Nations Sustainable Development Goals. In their efforts to support the UN’s aims of ending poverty, fighting inequality, and stopping climate change by 2030, they have been awarded the maximum five-star rating.
The Society is carbon neutral for its scope one and two emissions, making reductions in its footprint and offsetting any remaining emissions through tree planting. Work is well underway in reducing scope three emissions together with developing a net zero roadmap.
