UK-headquartered conservation company Environment Bank has partnered with Barclays bank to hasten the biodiversity net gain (BNG) policy uptake among England-based farmers and house builders.

Under the initiative, Barclays’ clients will be able to purchase off-site units from Environment Bank from a network of habitat banks across the country, the companies said in a statement.

Environment Bank, which is funded by asset manager Gresham House, has already established a network of 28 habitat banks over nearly 1,000 hectares across England, with more than 20 additional sites already in development.

“Not only does BNG support farmers and landowners to explore possible new revenue streams, but it also supports biodiversity uplift across England and is a route for developers to comply with this new regulation,” said Adam White, head of agriculture at Barclays UK.

“This collaboration with Environment Bank helps ensure our customers are getting support to understand what is right for their business.”

Under the BNG rules, which came into force on Feb. 12, development projects in England need to achieve a net biodiversity improvement of at least 10%.

When on-site enhancements are insufficient to meet the target, developers can generate off-site gains elsewhere or purchase them in a new market.

The partnership also aims to highlight opportunities for farmers and landowners to explore the BNG market as a way to access voluntary nature markets, said the companies.

“I hope that working closely with Barclays’ clients in this way will make a significant contribution to nature restoration in England,” said Catherine Spitzer, CEO of Environment Bank.

The UK is one of the world’s most nature-depleted countries, according to the 2023 State of Nature report, with a 19% decrease in the number of monitored animals and plant species over the last five decades.

Although it has been praised as world-leading, BNG legislation has faced numerous early issues over the last year, including claims it could incentivise building in nature recovery areas, poses serious risks to ecology, and lacks a strong market infrastructure.

In May, a separate study by the UK’s National Audit Office warned that BNG launched before ensuring all the necessary elements were in place for success.

By Sergio Colombo – sergio@carbon-pulse.com

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