Homes England and Octopus Real Estate launch Greener Homes Alliance 2

Homes England and Octopus Real Estate have launched the Greener Homes Alliance 2, the second phase of a fund to help SME housebuilders deliver sustainable homes across England.

The two organisations are committing £150 million of funding, £42 million of which will come from Homes England’s Home Building Fund, to provide “further loan finance” to SMEs, allowing them to progress with “high-quality, energy efficient homes”.

The first Greener Homes Alliance was launched in 2021, as part of a drive to expand the supply of finance available for SMEs. According to Homes England, the first phase funded more than 550 sustainable homes in England, with more than 40% of the properties built securing an Energy Performance Certificate (EPC) rating of A.

Homes England said that all of the homes funded achieved a Standard Assessment Procedure (SAP) score higher than 86, “significantly” higher than the average SAP score of 67.

Phase two introduces ten new criteria for funding eligibility. If four of the criteria are satisfied, the SME will receive a 1.25% discount on their interest rate. If six or more are reached, the housebuilder qualifies for a 2% discount.

Second phase criteria includes the use of modern …