Redwood Bank will offer portfolio landlords who already have energy performance certificate ratings of A to C, cash refunds of up to 50bps on new loans on properties in these top three tiers.
The specialist bank says the cashback deal is calculated as follows:
- A-rated property – 50bps of the loan value
- B-rated – 40bps of the loan value
- C-rated 20bps of the loan value
The deal comes after Prime Minister Rishi Sunak last month scrapped government plans to impose a minimum C rating – up from the current E rating – on all new tenancies from April 2025, and on all rented properties in 2028.
Redwood Bank chief executive and co-founder Gary Wilkinson says: “Although the government’s plans to impose minimum energy performance certificate standards have been halted, there is growing pressure on landlords to make their properties more energy efficient.
“We want to be able to reward those customers who have attained the highest standards.”
“We feel that in the current economic climate, receiving a cash lump sum would enable customers to be able to put this to immediate use as they see fit for their business.
“In some cases, the reward may aid customers looking to improve the energy performance certificate ratings of other properties in their possession.”
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