Adra secures £40m sustainable funding to improve housing

Adra Housing, North Wales’ largest housing association, has secured a £40m, five-year sustainability-linked loan from its new banking partner Lloyds Bank to help it build more homes and improve the energy efficiency of its existing portfolio.

The association provides more than 7,000 homes to 15,000 residents across North Wales and employs over 340 people. It will qualify for discounts on this latest funding by hitting a range of ESG KPIs.

Over the next five years, Adra aims to use the funding to ensure 90% of its new build homes have the highest energy efficiency rating (EPC A) and retrofit more than 450 of its properties to improve their efficiency by a minimum of 8%. It will also support more than 350 residents into employment through apprenticeships or work placements.

Adra is one of only seven associations in Wales to adopt the industry-led Sustainability Reporting Standards for Social Housing. The sustainability-linked loan Adra has secured enables it to continue its pursuit of being Net Zero by 2030.

Rhys Parry, director of resources at Adra Housing, said: “Delivering on the need for quality, affordable housing for North Wales residents in a sustainable way runs to the heart of what we do. It’s why we’ve set ambitious objectives over the past few years and chosen to work alongside Lloyds Bank, who share our commitment to creating a fairer, greener society.”

Christopher Yau, director of origination and sustainability for housing and head of the North West corporate banking team at Lloyds Bank, said: “Organisations like Adra don’t just provide housing, they create employment opportunities, improve peoples’ wellbeing and complement the broader sustainability objectives of their communities. We’re proud to welcome them as a banking partner and look forward to supporting them achieve their ambitions over the next five years with this funding and the positive impact it will have in the local communities.”

Adra aims to invest £60m by 2025 to improve the quality of its homes and build an additional 900 new homes during that period, as well as become carbon neutral by 2030. It also created around £52m of social value between 2015-2021 to support its communities. This included supporting local supply chains, using sustainable products and materials and bolstering the local economy.