Public data release - exposing risk in the UK property market

Unlike large banks, small lenders rarely have access to the detailed physical climate risk data they need to identify high risk properties in their portfolio. In the UK, XDI publicly released extreme weather and climate change physical risk statistics for 34 million commercial and residential addresses to ensure those most impacted could identify their risk.

* XDI releases information publicly to increase understanding about the costs of climate change

* XDI believes data needs to be accessed and understood by everyone

* Many small and large lenders don't have access to the climate data they need to understand their risk

* This dataset created the opportunity for all UK lenders to have the information they need to avoid financial instability due to climate impacts

About the public dataset

The aim of the UK National Physical Climate Risk Report for Mortgage Lenders report was to provide quantified insights into the scale, severity and concentration of current and future extreme weather and climate change risk to the UK’s national property address base.

The analysis suggested that climate exacerbated extreme weather risks could elevate insurance costs to unaffordable levels for many properties, leading to an increasing risk of financial distress and mortgage default. In some cases there are likely to be reductions in property value raising the spectre of negative equity.

“Many large banks now have the capability to identify and therefore avoid addresses where extreme weather and worsening insurance costs could give rise to default risk. Without access to the same information, small and medium size lenders are potentially at risk of absorbing these assets, thus skewing the proportion of high risk addresses in their portfolio,” explained XDI CEO Rohan Hamden.

This information has been used by governments, regulators, and financial institutions working with commercial and residential assets. It has created the opportunity for all lenders, large and small, to have the information they need to avoid financial instability due to climate impacts.

Read the report.

Read the media release

‍Download the report

Contact our sales team

Let’s explore how our experts can deliver your best, most actionable physical climate risk insights.

Secure, assurable results

Delivered how you need it

By physical climate risk specialists

Thank you! Your submission has been received!

Oops! Something went wrong while submitting the form.

Related use cases

View all

Civil Society use cases

Civil society: A voice for homeowners

For many individuals, their homes are their single, most significant investment in their lives. Yet homeowners are often the last to know about their current or impending property’s risk to extreme weather events or what they can do to mitigate these risks. To address this challenge, XDI’s sister organisation, Climate Valuation, was created, providing home owners and home buyers with an immediate on the spot risk rating for individual properties and placing residential datasets in the public domain.

Civil Society use cases