Thursday 24 June 2021

TSB banks on green mortgage offering to help homeowners reduce carbon footprint

Banking giant TSB has launched a new green mortgage offering aimed at encouraging consumers to make their homes environmentally friendly and reduce their carbon footprint.

Under the Green Additional Borrowing mortgage products, existing TSB buy-to-let or residential mortgage customers can borrow £10,000 or more fo fund a range of green home improvements, including loft and wall insulation and heating upgrade or solar panel installation.

Customers must spend a minimum of £1,000 for green improvements as part of the overall total advance and they can benefit from rate reductions of 0.50%, where it is used to fund improvements that will reduce their home emissions.

Where the borrowing is to fund a mix of green and other home improvements, only the 'green' part of the borrowing will benefit from the reduced rate.

The latest offering comes after TSB - which aims to hit net zero carbon emissions by 2030 – launched its tree planting scheme to offset the impact of house moves, with a new tree planted for each mortgage sold where the customer moves house.

Nick Smith, TSB’s Head of Mortgages said: “We are all conscious of the need to do more to protect the environment and we know that a lot of our customers are also keen to play their part in tackling climate change. So we’ve decided to give our mortgage customers a helping hand, by offering them a discount when they borrow to invest in the energy efficiency of their homes.”