The UKMBA’s Sustainable Finance Framework

UK regional and local government plays a key role in delivering sustainable growth and social infrastructure including local roads, public transport, schools, care homes, libraries, street lighting, waste disposal facilities, parks, leisure centres and local flood defences. The Covid-19 pandemic has highlighted the extent of social deprivation that local authorities have been working to address for a long time.

In order to finance projects that will deliver environmental and social benefits the UKMBA has developed its Sustainable Finance Framework under which it can issue all forms of green, social and sustainable finance including, but not limited to, public bonds, private placements, commercial paper and other debt instruments

The UKMBA’s Sustainable Finance Framework can be downloaded here.

Second Party Opinion

DNV Business Assurance Services UK Limited has been commissioned by the UKMBA to provide a review* of the Sustainable Finance Framework against the International Capital Market Association (“ICMA”) Green Bond Principles 2021 (GBP), Social Bond Principles 2021 (SBP) and Sustainability Bond Guidelines 2021 (SBG), as well as the Loan Market Association (LMA) Green Loan Principle 2021 (GLP) and Social Loan Principle 2021 (SLP).

A copy of DNV’s report may be downloaded here.

*It is important to note that DNV has not been commissioned to provide assurance regarding the financial performance of the bonds issued via the Agency’s Framework, the value of any investment, the alignment of associated bonds with Regulatory requirements, or the long-term environmental and social benefits of the associated transactions.