Despite a wet start to the summer, temperatures soared throughout June and July with some of the warmest days on record. Of course, it’s difficult to compare day-to-day conditions with longer-term trends, but the unpredictable weather conditions across the world are a tangible reminder that climate change is a very real problem.

There is a broader understanding that there’s a need for change, and although this change is slow, borrowers are becoming increasingly aware of the need to take control of their energy consumption and the environmental impact of their home.

In response to this, we created a dedicated space on our website to support members in reducing their carbon footprint. As brokers and lenders, it’s clear that we need to do everything in our power to make processes simpler and more straight-forward for borrowers and help them to find the property and the mortgage that is right for them.

The UK has some of the oldest housing stock in Europe, meaning UK homes remain among the least energy efficient and housing contributes to around 17% of all carbon dioxide emissions in the UK.

As a lender we offer enhanced affordability for mortgages on the most energy-efficient new homes. Other lenders provide similar initiatives and as such we are working together towards building a greener planet.

Being responsive and innovative in this area is important to us, so when housebuilder Keepmoat Homes approached us about a progressive development of properties they were planning to build near Nottingham, we instantly knew we wanted to be involved.

These homes would be built to the anticipated Future Homes Standard which is due to be introduced as part of building regulations for all new properties built in the UK from 2025. The Future Homes Standard aims to decarbonise new homes by focussing on improving heating and hot water systems.

The Keepmoat homes will be heated using state of the art air source heat pumps, use smart water storage, and come with under floor heating and PV panels to provide renewable energy. It is estimated that homes built to this standard will deliver a 90% reduction in carbon from previous standards implemented in 2013.

For us, it’s a no-brainer to factor in the reduced monthly outgoings associated with living in a home like this into mortgage affordability calculations. We knew there would be lots we could learn to apply to our lending across the board and agreed to become a primary lender on these homes of the future, factoring in the anticipated reduction in energy bills into our affordability assessments for mortgage applicants.

Fast forward two years from our initial conversation, and the first homes on the development at the Gedling Green site near Nottingham are now on sale. It’s estimated that the residents of these homes will use 57% less energy than those living in an equivalent standard basic new build property, and the cost of running one of these homes will be around 45% less than similar second-hand properties.

Through this project, we’re also working in partnership with research teams from Birmingham City University. We’ll be able to access real-time learnings from these new homes on their energy usage, so we can continue to develop our understanding of what it is like to live in one of these homes, how it effects energy bills, and the positive impact Future Homes can have on carbon emissions.

As a lender, we feel strongly that the additional costs associated with building a home to this standard should not run the risk of pricing people out of the market for more sustainable homes. As a mortgage industry, it is crucially important that we all work together to recognise the mutual benefit to our housing stock and industry. Factoring energy efficiency into affordability calculations will put home ownership within reach of more people and protect our planet for future generations.

Martese Carton is director of mortgage distribution at Leeds Building Society