Housing entity secures fresh financing with a focus on sustainability standards
Great Places Housing Group, one of the largest social landlords in North West England, has secured a significant financial boost with the acquisition of around £225 million in sustainability-linked loans. These loans, which aim to promote environmental sustainability, will contribute to the construction of new homes and the improvement of existing ones with a focus on energy efficiency[1].
The funding agreements, worth £109 million with Santander, £100 million with NatWest, and £75 million with ABN AMRO, are part of Great Places' debt management strategy. Recent reports indicate that the Group has already drawn down £56 million on RCF loans, contributing to a total drawn debt of £768 million as of June 2025[2].
The loans are structured to incentivise sustainability objectives through financial rewards linked to environmental targets such as carbon emissions reduction and energy efficiency improvements[1]. This alignment of funding sources with Great Places' commitment to providing affordable, energy-efficient homes allows the Group flexible access to capital for development and refurbishment projects while embedding sustainability performance metrics into the cost of borrowing.
NatWest, a major lender to the UK affordable housing sector, has expressed delight in continuing to support Great Places in providing social housing[1]. NatWest has announced an ambition to provide a further £5 billion in funding to support the housing association sector by the end of 2026[1]. The sustainability-linked performance measures in the RCF with NatWest aim to lead to more energy-efficient homes in the North West, Yorkshire, and Derbyshire[1].
Great Places plans to use the funds to further increase resources for improving property conditions and customer services, as well as to develop around 9,000 new affordable homes between 2020 and 2030[3]. Mike Roche, director at Savills Financial Consultants, expressed delight in continuing and developing relationships with NatWest and Santander, and welcoming ABN AMRO as a new banking partner[4].
The collaboration between Great Places and the three banks demonstrates a growing trend in the housing sector, where sustainability-linked loans are becoming increasingly popular. These loans not only provide financial support for housing projects but also encourage the development of energy-efficient, low-carbon homes.
[1] Great Places Housing Group secures £225m of sustainability-linked loans to support building and improving homes with an environmental focus
[2] Great Places Housing Group secures £225 million in sustainability-linked loans
[3] Great Places Housing Group secures £225m in sustainability-linked loans
[4] Great Places secures £225m in sustainability-linked loans
[5] Great Places secures £225 million in sustainability-linked loans
- The £225 million sustainability-linked loans secured by Great Places Housing Group will aid in the construction of energy-efficient homes and the refurbishment of existing properties with a focus on energy efficiency and sustainability.
- The sports sector could benefit from sustainability-linked finance, similar to Great Places Housing Group, by securing loans with financial rewards linked to environmental targets, encouraging the development of low-carbon and energy-efficient sports facilities.
