Principality Building Society will use Hometrack to manage climate change risk in its mortgage portfolio.

The contract includes analysis from Ambiental and Terrafirma, which specialise in flood risk and ground risk, respectively.

Both near-term and long-term risk mitigation is included in the package, and Hometrack will also help the building society navigate regulation from the Bank of England.

Principality chief customer officer Vicky Wales says: “Climate change is an ever important issue in our society and it is part and parcel of our responsibility as a member-owned organisation and responsible lender to ensure we are becoming a more sustainable organisation, by supporting our natural environment as well as managing climate change risks across our portfolio.

“We’re pleased to be building on our strong partnership with Hometrack, who’s expertise and support will allow us to gain an in depth analysis into the evolving risks that climate change poses for us and our members.”

And Hometrack vice president commercial George Robbins adds: “The possible impact on lender portfolios is complex and diverse, and requires expert knowledge to quantify and manage; regulation is becoming more complex, and is driving continued investment in the expansion of our suite of climate change risk solutions.

“Our relationship with Principality is an important one, and we welcome the opportunity to expand this and support them through this changing landscape, as we track and minimise risk exposure both today and for the long term.”

This follows Leeds Building Society signing up with Hometrack in July and Yorkshire Building Society in August.