Hometrack has partnered with Twinn by Haskoning to deliver physical climate risk data to Leeds Building Society, powering climate risk management and responsible lending.
The collaboration has created a solution that integrates risk data covering flood, subsidence, coastal erosion, and more - directly into mortgage origination and portfolio-level analysis, enabling the building society to proactively manage climate-related risks.
Leeds Building Society’s vision was to incorporate reliable climate risk data into its live decision-making processes for new mortgage applications and for back-book analysis and stress testing.
The solution uses Hometrack's mortgage automation and property valuation system as a foundational base to incorporate climate risk into Leeds’ automated decisioning process.
The approach not only supports regulatory compliance under CP10/25 but also helps the Society guide brokers and, by extension, consumers. By assessing climate risks at the individual property level, Leeds can help customers make more informed decisions and avoid creating “climate prisoners”.
Graeme McRitchie, head of prudential and enterprise risk at Leeds Building Society, said: "Our strategy has always been to be a fast adopter in this space. We wanted to act quickly in response to regulation, but with a robust approach rooted in reliable data. The reliability element was key; we didn’t want to blindly attribute climate risk scores to tick a compliance box. We wanted data we could interrogate, understand and use to make robust decisions."
Graeme Gillespie, director of commercial strategy at Hometrack, commented: "This has been a really successful collaboration with Leeds Building Society and Twinn. The Bank of England recently issued Consultation Paper 10/25 in which they call for much greater connectivity between climate risk policy and operational execution. Leeds already has a platform to achieve this that really is best in class.”
Rob Carling, Twinn channel sales manager at Haskoning, added: “Using the solution, Leeds can see aggregated and property-level risk ratings for various Representative Concentration Pathways (RCPs) and emissions scenarios. This means it can quantify climate risk across its portfolio - and understand how that risk may change over time.”
