WEALTH March 23, 2026 0 Comments

Unlocking the Green Loan Goldmine: How IGBC’s New Certification Could Revolutionize SME Builders’ Access to Capital

Ever wondered if small home builders could not only keep pace with the big players but actually lead the charge toward truly sustainable living? Well, the Irish Green Building Council (IGBC) just dropped a game-changer: the Home Performance Pathway. It’s not just another certification; it’s a tailored launchpad aimed at helping SME developers snag lower-cost green financing while speeding up Ireland’s journey to eco-friendly housing. Covering everything from slashing carbon footprints to boosting indoor comfort, it’s designed to make sustainability less of a lofty ideal and more of a practical, everyday reality for smaller builders. And with SMEs pulling over 80% of the construction sector’s turnover, this could be the spark to ignite a nationwide green revolution—just in time to hit the government’s bold target of 300,000 new homes by 2030. Curious how this might reshape the market and finance landscape for smaller developers? Buckle up, because the future of homebuilding just got a whole lot greener. LEARN MORE

The Irish Green Building Council (IGBC) has launched a new certification for small home builders to help them to deliver environmentally sustainable homes.

Home Performance Pathway is intended to help SME developers to qualify for lower-cost development finance and to accelerate the development of sustainable housing across the country.

The new certification covers key areas of sustainability, such as carbon emissions, water efficiency, biodiversity and waste.

It also covers health and comfort indicators such as indoor air quality, acoustic comfort and summer comfort.

“The Home Performance Pathway provides an accessible route for smaller homebuilders to start integrating sustainability into their schemes. It encourages them to increase their ambition over time, with support from the IGBC. It will help SME builders to thrive in a future where all finance is dependent on proof of sustainability,” said Pat Barry, CEO of the Irish Green Building Council.

The Home Performance Pathway is designed as an entry level to IGBC’s full sustainability certification, the Home Performance Index (HPI).

HPI is a holistic sustainability and quality standard that is well established in the market for larger housing developments in Ireland, with over 3,500 dwellings certified in 2025.

The Home Performance Pathway will enable SME construction companies to access green development finance through a simplified certification pathway.

SMEs are responsible for over 80% of turnover in Ireland’s construction sector, and a significant portion of housing delivery.

The government has committed to delivering 300,000 new homes and to reducing carbon emissions by 51% by the end of the decade.

“Delivering Homes Building Communities commits to a range of initiatives to support small to medium construction companies to deliver sustainable housing,” said Minister for Housing James Browne.

“I am pleased to see this collaborative approach led by the IGBC with the financial and construction sectors which will enable SME developers and builders to qualify for lower cost development finance, helping to accelerate the delivery of sustainable homes across the country.

“This initiative will encourage and support the development of the Small and Medium Enterprise homebuilder sector and further accelerate progress towards our target to deliver at least 300,000 homes by 2030.”

John Delahunty of AIB Real Estate Finance said: “AIB is dedicated to supporting the development of sustainable, energy-efficient homes throughout Ireland.

“The introduction of the Home Performance Pathway is a significant milestone, enabling smaller developers and builders to access affordable green finance while elevating the overall standard of housing delivery.

“This initiative provides a clearer, achievable path to sustainable construction, accelerating the shift to a low-carbon built environment while improving sector capability and expanding access to high quality, climate-resilient homes across Ireland in support of national sustainability goals.”

Brian Gaffney, head of residential and development finance at Bank of Ireland, commented: “Bank of Ireland welcomes the introduction of the Home Performance Pathway, and the leadership shown by the Irish Green Building Council in making sustainable construction more accessible for SME builders.

“Initiatives like this play an important role in helping house builders of all sizes integrate sustainability into their developments, and we are pleased to support efforts that strengthen communities and encourage the building of high‑quality, energy‑efficient homes across the country.”

Photo: (l-r) Magdalena Hajdukiewicz, Construct Innovate; James Browne T.D., Minister for Housing, Local Government & Heritage; Johanna Varghese, Irish Green Building Council. (Pic: Marc O’Sullivan)