Gresham House and biodiversity gain provider Environment Bank have launched a credit for developers and landowners.
The biodiversity net gain (BNG) Credit is a way to help developers in leaving natural habitats in a better state than they found them that is in line with the Environment Act 2021, while also generating income for landowners.
If developers aren’t able to improve biodiversity on their particular site, they can gain credit from a network of natural habitats (such as woodlands, meadows and wetlands) established by the firms.
Ben Sharples, partner in the agricultural team at law firm Michelmores LLP, which advised on the solution, called this bank of habitats a ‘new asset class’.
“The race to net zero and the legal requirement for biodiversity net gain will mean such benefits quickly acquire a substantial and quantifiable value,” he said.
James Cross, CEO of Environment Bank, added: “Our habitat banks provide a long-term opportunity for landowners to diversify their income, a biodiverse haven for plants and animals, and a simple, risk-free way for developers to meet changing regulations.”
