TSB has launched a new mortgage product range that rewards buyers of energy efficient properties with £250 cashback.

The lender said the incentive applies to all residential purchase mortgages, including shared ownership and shared equity, where the home has an Energy Performance Certificate (EPC) rating of A or B.

The cashback will also be available on new-builds with a predicted EPC rating of A or B and will be paid on completion.

SUPPORT FOR GREENER HOMES

The new product builds on TSB’s wider initiatives to help customers improve the energy performance of their homes. Since 2023, the bank has partnered with Snugg, a platform that provides free personalised home energy improvement plans.

Almost 5,000 TSB customers have used the service, with more than three quarters saying they are more likely to make changes after receiving tailored advice.

According to TSB, households completing a Snugg plan could save an average of £622 a year on energy bills and cut carbon emissions by around 2,160kg annually. Snugg has also connected more than half of these customers to grants averaging £4,169 to support the cost of improvements.

Craig Calder, secured lending director at TSB, said: “Our new energy efficient mortgage product range is a great example of rewarding homeowners for making energy efficient choices while also helping TSB to deliver on its net-zero commitments.

“The biggest challenge for anyone looking to reduce their home energy usage is knowing where to start, which is why TSB’s partnership with Snugg is so important to help cut through the confusion and support more people to take the first step towards a more sustainable household.”

He added: “My advice for anyone looking to improve the energy efficiency of their home is to start with an up-to-date EPC assessment, and then consider the low-cost items first, like those suggested by Snugg, as you’ll be surprised how much of a difference they can make.

“Also check out what grants you may be eligible for, as that extra money can go a long way.”