Our environmental ambition
Environmental and climate consciousness are aligned to our mutual purpose of Banking – but fairer, more rewarding and for the good of society, and we are committed to a net-zero future. It is our ambition to support the UK in achieving its target to be net-zero by 2050.
This ambition is a core part of our strategy, embedded in our strategic driver Beacon for mutual good; and supported by our Mutual Good Commitment; we aim to build a more sustainable world by supporting progress towards a greener society.
This compels us to take meaningful action by limiting the environmental impact of our business operations, helping customers to green their homes and businesses and better managing the impacts of a more unpredictable climate. In doing so, we can demonstrate our mutual difference, that extends beyond our own customers and positively impacts our communities as well as wider society.
Some of the ways we demonstrate this ambition are below:
- We have set five Mutual Good Commitments, which articulate our environmental, social and governance (ESG) strategy, in support of our Beacon for mutual good strategic driver. We have aligned our Mutual Good Commitment – we aim to build a more sustainable world by supporting progress towards a greener society – with our ambition to support the UK in achieving net-zero by 2050. Our Mutual Good Commitment metrics reflect our intermediate (by 2030) science-based targets for our scope 1, 2, and 3 emissions.
- We monitor our scope 1, 2 and 3 emissions and report annually in our Climate-related Financial Disclosures, alongside progress against our intermediate (by 2030) science-based targets. Our Climate-related Financial Disclosures also describes how we manage climate and nature-related risk.
- We published our inaugural Intermediate (by 2030) net-zero-aligned Transition Plan 2023, detailing the actions, and potential actions, both within and outside of our control, needed for us to progress towards our targets.
- Our ESG Disclosure explains our ambitions and details the five Mutual Good Commitments articulating our ESG strategy, set in areas we believe we can make the most significant, positive impacts for our members and customers, our communities and society as a whole.
- We continue to reduce the emissions of our business operations, through initiatives such as reducing the waste we send to landfill, installing solar panels at our head office in Swindon, and sourcing 100% of our electricity from renewable sources.
- We continue to leverage third party geospatial mapping data to provide a better understanding of the environmental credentials of the properties on which we lend.
- We aspire to enhance the biodiversity across our Nationwide property estate, through a long-term property sustainability strategy, supported by a five-year management action plan. We continue to work towards the Wildlife Trust’s Biodiversity Benchmark specifically for Nationwide House and have published our Biodiversity Standard.
- Our Oakfield development consists of 239 EPC A-rated homes built on a brownfield site in Swindon. The homes are fitted with air source heat pumps, solar panels and the development is completely gas-free; aiming to be a blueprint for other responsible organisations who wish to build more energy-efficient housing developments, in collaboration with local communities.
- We are participants of the United Nations (UN) Global Compact and signatories of the UN Environment Programme Finance Initiative Principles for Responsible Banking. These reinforce our commitment to a net-zero future and support our intent to align to the UN Sustainable Development Goals.
- We continue to embed climate into our culture by offering climate change training to colleagues.
Find out more information about our climate change strategy, our net-zero ambitions, and our approach to sustainability, in the following disclosures:
Our climate change strategy
Our climate change strategy is detailed within our Climate-related Financial Disclosures 2025 and articulates how climate change impacts our stakeholders. We have six pillars to our climate change strategy, which describe how we engage with stakeholders on climate change.
- Supporting the greening of UK homes
- Aiming to reduce emissions associated with our mortgage lending by helping customers make energy efficient home improvements through green finance propositions and engagement.
- Enabling businesses to transition towards net-zero
- Supporting our business customers in their transition to a low-carbon, more sustainable future, through finance and engagement.
- Advocating for a net-zero future
- Influencing policy makers and government on the need for comprehensive green homes, and green sector, policies to support the transition to a low-carbon economy.
- Forming partnerships with key organisations, and working cross industry, to grow knowledge and effect real change.
- Greening our business operations and supply chain
- Aiming to reduce our emissions, and understand the impact of nature, associated with our business operations and supply chain, in line with a net-zero pathway.
- Leveraging our scale and influence to promote green practices within our supply chain.
- Embedding climate into our culture
- Training colleagues on the impacts of climate change.
- Encouraging engagement on green issues and highlighting ways for colleagues to reduce their carbon footprint whilst at work and home.
- Enhancing our climate risk capabilities
- Building our capability to manage risk from climate change across short-, medium- and long-term time horizons, to deliver our regulatory commitments.
- Demonstrating to our investors that we are managing the risks and opportunities presented by climate change.
Our Board has ultimate accountability for all climate-related risk matters and sets strategic direction for climate change ambitions, supported by a well-established governance model. Our Environmental Standard is reviewed annually by our Climate Change Risk Committee and approved by the Director of Strategy, Performance & Sustainability.
Last updated: May 2025