Bank Of Ireland Group Plc · EURONEXT:BIRG
Bank Of Ireland — ESG Presentation (2024)
52 slides from Bank Of Ireland's sustainability presentation, 2024
Slide 1: ESG Investor Presentation
= ~~] Bank of Ireland ESG Investor Presentation
Slide 2: Contents
Contents Introduction Environmental Social Governance Introduction 3-6 Green Bond Framework 29-38 Our Group, Sustainability 29 Green Bond Framework 3-5 Strategy and Roadmap 30 Use of Proceeds 6 Sustainability at a glance in 2023 31 Project Evaluation and Selection Process Environmental 8-13 32-33 Ma
Slide 3: Our Group Strategy
Our Group Introduction Environmental Social Governance Strategy In March 2023, our refreshed Group Strategy for 2023- Values Strategic 2025 was launched. This Pillars strategy builds on our 240 Customer year business heritage and is first guided by our purpose, which is Purpose Stronger to help cust
Slide 4: Our Sustainability Strategy
Our Introduction Environmental Social Governance Sustainability Sustainability strategy aligned to UN Sustainable Development Goals (UN SDGs) which interconnect broader ESG considerations beyond climate and net zero. Strategy Sustainability Pillars Supporting the Enhancing Enabling Colleagues Green
Slide 5: Our Sustainability Roadmap
Our Sustainability Introduction Environmental Social Governance Roadmap 2050 Net Sustainability-related finance increased by 35% to €11.1bn* E Environmental Achieved over 85% of our SBTi 2030 target Zero reduction in Scope 1 and 2 emissions S Social Total Green Bond issuances of c.€4.75 bn to date G
Slide 6: Sustainability at a glance in 2023
Sustainability Introduction Environmental Social Governance at a glance in 2023 1st #1 and only Irish bank, one of 23 globally, to set and publish our commitments to financial bank recognised 46%* female appointments health and inclusion for Financial under the UN Principles Wellbeing in Ireland to
Slide 7: Environmental
Introduction Environmental Social Governance €2.25bn Launched Green Capex issued in bonds through Green Bond Framework. Total issuance to date Loan c. €4.75 bn product aligned to the EU Taxonomy sustainable market activities €11.1bn* >85% Environmental of our 2030 emissions sustainability-related re
Slide 8: Five Point Climate Action Plan
We are committed to supporting a Introduction Environmental Social Governance transition to a resilient, net zero and nature positive economy by 2050 Five Point Climate Action Plan Managing Transparently Science Sustainable Decarbonising Climate – Reporting our Based Targets Finance our Operations R
Slide 9: BOI has set Science Based Targets to Reduce Emissions
BOI has set Science Based Introduction Environmental Social Governance Targets to Reduce Emissions Science based targets continued Science Based Targets initiative (SBTi) emissions reduction targets cover all the Group’s operations and 76% of our loan book First Irish bank to have targets validated
Slide 10: Sustainable Finance
Sustainable Finance Introduction Environmental Social Governance Lending €15bn by 2025 and €30bn by 2030 Sustainable Finance Portfolio (Dec 2023)1 Portfolio • In 2023, our Sustainable Finance Portfolio grew by c.35% reaching €11.1 billion • c.50% of new mortgage lending was in green mortgages • Grow
Slide 11: Sustainable Finance: Supporting all our customers
Sustainable Finance Introduction Environmental Social Governance Supporting all our customers ROI Homebuying ROI Business Corporate Banking New Ireland Davy and Everyday Banking (SME) Banking Homebuying and Everyday Business Banking Corporate Banking New Ireland aim to be a Davy offers a range of Ba
Slide 12: Spotlight on our EcoSaver Mortgages
Sustainable Finance Introduction Environmental Social Governance Spotlight on our EcoSaver Mortgages Bank of Ireland at the centre of sustainability ecosystem Residential Sector Sustainability in action: EcoSaver Mortgages EcoSaver: Discounted pricing on fixed rate In April 2024, Bank of mortgages f
Slide 13: Spotlight on Enviroflex
Sustainable Finance Introduction Environmental Social Governance Spotlight on Enviroflex Bank of Ireland at the centre of sustainability ecosystem Agriculture Sector Sustainability in action: Sustainability-Linked Loans Extensive research into the most cost-effective In November 2023, in way to redu
Slide 14: Managing Climate-Related Risks
Managing Climate-Related Risks Introduction Environmental Social Governance The key climate-related risk impacts are: Credit Business and Operational Conduct Regulatory Capital Risk Strategic Risk Risk Risk Risk Adequacy Risk Increased cost associated Franchise impacts if strategic Physical risks co
Slide 15: Responsible Investment
Responsible Investment Introduction Environmental Social Governance Leveraging our role as an investor With €22bn assets under management Davy has €24bn in AUM and is the leading (AUM), New Ireland partners with private wealth manager in Ireland a number market leaders in ESG investing Davy has prov
Slide 16: Nature
Nature Introduction Environmental Social Governance Innovating for Circular Bank of Ireland |Nature Nature Economy • Half of the world’s GDP (or approximately $58 trillion of economic value generation) is estimated to be We designed and delivered In 2023, we joined Circuléire moderately or highly de
Slide 17: Social
Introduction Environmental Social Governance #1 bank for Financial Wellbeing in Ireland 46%* female senior appointments to management and leadership positions >100,000 students took part in our (+6 points vs 2022) Financial Literacy Programmes for the 2022/2023 school year 80% >17,700 Social culture
Slide 18: The Financial Wellbeing of the Nation
The Financial Wellbeing Introduction Environmental Social Governance of the Nation Thriving 17% Income enables spending (-2 vs July 2022)) well within means and Bank of Ireland is committed to empowering comprehensively providing people with knowledge and skills needed for financial future to make t
Slide 19: Enhancing Financial Wellbeing driven by three key pillars
Enhancing Financial Wellbeing Introduction Environmental Social Governance driven by three key pillars Our Financial Wellbeing commitment is to empower people with the knowledge and skills to make the most of their finances so they can be in control of their everyday spending, have a plan for the fu
Slide 20: Spotlight on UNPRB commitment
Spotlight on UNPRB commitment Introduction Environmental Social Governance to build a more financially resilient and confident Ireland Goal: Increase - from 62% to 70% - by 2030 the percentage of customers who are confident (strongly or somewhat) that they have funds available to cover an unexpected
Slide 21: Enabling Colleagues to Thrive: Our Three Priorities
Enabling Colleagues to Thrive Introduction Environmental Social Governance Our Three Priorities 01 02 03 Our Values Customer First: Build a Create a Simplify Everything we do is for our Future Differentiated our customers. Our business is Ready Colleagues Ways of designed around them Workforce Exper
Slide 22: Our People are our Greatest Asset
Our People are our Introduction Environmental Social Governance Greatest Asset 01 02 03 Build a Future Create a Differentiated Simplify our Ways Ready Workforce Colleagues Experience of Working Growing a Future Ready Society Women and Family Campaign Cultivating Connection Through Hybrid Work • Futu
Slide 23: Social Foundation Topics
Social Foundation Topics Introduction Environmental Social Governance Social Community Health and Responsible Human Housing Investment Safety Sourcing Rights We support the Irish We are supporting the local Ensuring all our locations are Human rights and environmental In 2023, we continued to Govern
Slide 24: Governance
Introduction Environmental Social Governance ‘Sustainable Company’ Embedded as a core Group strategic pillar Governance Green bond Framework +2 2024 version published Improved ratings from two ESG ratings agencies in 2023
Slide 25: Corporate and Sustainability Organisation
Corporate and Introduction Environmental Social Governance Sustainability Organisation Group role, responsibilities and remuneration Bank of Ireland Group PLC Board The responsibility of the Board Oversight Group Sustainability Committee include: Group • Oversight of Group sustainability strategy Bo
Slide 26: Governance Foundation Topics
Governance Foundation Topics Introduction Environmental Social Governance Culture Business Cyber Data Financial Ethics Security Protection Crime Our culture is rooted in our We are committed to applying We continue to invest in our The appropriate management Protecting the financial system’s purpose
Slide 27: Our ESG Ratings
Our ESG Ratings Introduction Environmental Social Governance The Group participates in a number of ESG ratings and Agency Rating scale 2023 2022 Comment benchmarks with a focus on The Group’s score was in the low-risk agencies that have a strong Scale of 0 – 100, category placing the Group in the re
Slide 28: Green Bond Framework
= ~~] Bank of Ireland Green Bond Framework
Slide 29: Green Bond Framework
Green Bond Framework Green Bond issuance is an important part of the Group’s Responsible and Sustainable Business Strategy as we look to finance our customers’ transition to the low carbon economy and take an active role in combating climate change through sustainable finance Green Bond Framework Pi
Slide 30: Pillar 1: Use of Proceeds (Green Bond Framework 2024)
Pillar 1: Use of Proceeds (Green Bond Framework 2024) ICMA GBP Eligible Category Eligibility Criteria Example Green Projects UN SDG Residential and Commercial Buildings in Ireland • Residential and commercial buildings built before January 2021 belonging to the top 15% low carbon buildings in Irelan
Slide 31: Pillar 2: Project Evaluation and Selection Process
Pillar 2: Project Evaluation and Selection Process All potential Eligible Assets go through the standard credit process, which All potential Eligible Assets need to comply with local laws and regulations, is governed by the Group Credit Policy and Group Credit Framework including any applicable regu
Slide 32: Pillar 3: Management of Proceeds
Pillar 3: Management of Proceeds The 2021 Green Bond Framework will remain applicable for existing Green Bonds issued before the inception of the 2024 Green Bond Framework. The 2024 Green Bond Framework will be used for all new Green Bond issuances from 2024 onwards. 2021 Green Bond Framework 2024 G
Slide 33: Pillar 3: Management of Proceeds
Pillar 3: Management of Proceeds The proceeds of the Green Finance Instruments issued 2021 GBF Eligible Portfolio 2024 GBF Eligible Portfolio under this Framework will be managed and tracked & Green Liabilities (FY23) & Green Liabilities (FY23) by the Group on the basis of a portfolio approach The G
Slide 34: Pillar 4: Reporting
Pillar 4: Reporting Within one year of issuance, and annually thereafter, the Group will produce an external report to investors comprising an Allocation Report and an Impact Report, subject to the availability of suitable information and data These reports shall be made publicly available via the G
Slide 35: 2021 Green Bond Framework – FY23 Allocation Report
2021 Green Bond Framework – FY23 Allocation Report 2021 Green Bond Framework Green Eligible Assets Portfolio Green Eligible Assets Portfolio Eligible Portfolio (FY23) Eligibility Number Amount ISIN Settlement Maturity Amount 3% 1% Criteria of Loans (EUR) Date Date (EUR) 7% (€250m) (€118m) Green Buil
Slide 36: 2024 Green Bond Framework – Identified assets
2024 Green Bond Framework – Identified assets 2024 Green Bond Framework As of FY23, Bank of Ireland has Some of the Eligible Green Eligible Portfolio (FY23) identified circa €4bn of Eligible Assets under the new 2024 3% Green Assets under the new Green Bond Framework are 6% (~€115m) 2024 Green Bond
Slide 37: Second Party Opinion
Second Party Opinion “Sustainalytics is of the opinion that the Bank of Ireland Green Bond Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2021” Sustainalytics’ assessment of the Bank of Ireland’s Green Bond Framework concluded that the: • Gr
Slide 38: Second Party Opinion – EU Taxonomy Alignment
Second Party Opinion – EU Taxonomy Alignment Performed by Green Buildings Renewable Energy Clean Transportation Eligible Green Category (Residential & Commercial) (Wind & Solar) (Electric Vehicles) Geography Ireland & UK Ireland & UK Ireland & UK Technical Screening Criteria Partially Aligned1 Align
Slide 39: Appendix
= ~~] Bank of Ireland Appendix
Slide 40: Sustainable Finance
Sustainable Finance Introduction Environmental Social Governance Lending €15bn by 2025 and €30bn by 2030 €129bn investment required for Ireland’s transition to 20301 Bank of Ireland at centre of sustainability ecosystem Sector Opportunity Market expected to grow with up to €23bn of spending forecast
Slide 41: Decarbonising our own Operations
Decarbonising our own Operations Introduction Environmental Social Governance We have achieved a 42% emissions reduction from our 2020 baseline Convergence Pathway SBTi 1.50C1 2023 2022 Metric tC02e tC02e 8,000 Scope 1 fuel consumption 3,615 3,682 6,238 Absolute Emissions 6,000 Scope 2 purchased ele
Slide 42: Managing Climate-Related Risks
Managing Climate-Related Risks Introduction Environmental Social Governance Commercial lending exposure to sectors Energy efficiency of property lending portfolios (FY2023) that contribute to climate change 5 2023 Gross* 2023 YoY Sector concentrations key risk indicators Carrying Amount % Total Chan
Slide 43: Managing Climate-Related Risks
Managing Climate-Related Risks Introduction Environmental Social Governance Exposure sensitive to climate change: physical 14% 85% Exposure sensitive to chronic physical Exposure sensitive to acute physical Exposure to physical risks only risks only climate risks 1% Exposure sensitive €1.4bn Six sub
Slide 44: Managing Climate-Related Risks: Flood Risk Scenario
Managing Climate-Related Risks: Introduction Environmental Social Governance Flood Risk Scenario % of total % of regional RoI (c.€32.5bn) and UK (c.€15.0bn) mortgage portfolios – As an additional lens to identify Area mortgage lending lending at risk flood risk by region in forward looking stress ex
Slide 45: Spotlight on UNPRB Commitment
Spotlight on UNPRB Commitment Introduction Environmental Social Governance to build a more financially resilient and confident Ireland Goal: Increase - from 62% to 70% - by 2030 the percentage of customers who are confident (strongly or somewhat) that they have funds available to cover an unexpected
Slide 46: Spotlight on UNPRB Commitment
Spotlight on UNPRB Commitment Introduction Environmental Social Governance to build a more financially resilient and confident Ireland Goal: Increase - from 44% to 50% - by 2030 the percentage of customers who are confident (strongly or somewhat) that they have funds (savings or insurance) available
Slide 47: Fraud Awareness
Fraud Awareness Introduction Environmental Social Governance Financial Wellbeing in action We are investing €50m in customer fraud protection and prevention Building Fraud Awareness The €50m investment includes €15 million Protecting our customers and on new fraud prevention technology colleagues’ F
Slide 48: Corporate and Sustainability Organisation
Corporate and Introduction Environmental Social Governance Sustainability Organisation Group role, responsibilities and Governance Oversight remuneration cont. 01 Board Oversight • The Board is collectively responsible for the long-term sustainable success of the Group: • Responsibilities in respect
Slide 49: Membership and Associations
Membership and Associations Introduction Environmental Social Governance The ESG challenges facing us today require a collaborative response from organisations across society. Bank of Ireland has partnered with a number of national and international organisations to share experience and leverage exp
Slide 50: Contact details
Contact details For further information please contact: Investor Relations Team Eamonn Hughes tel: +353 87 202 6325 eamonn.hughes@boi.com Darach O’Leary tel: +353 87 948 0650 darach.oleary@boi.com Darragh Crowley tel: +353 87 380 3246 darragh.crowley@boi.com Philip O’Sullivan tel: +353 86 358 7674 p
Slide 51: Disclaimer
Disclaimer General: This document is intended to provide non-exhaustive, general information and does not purport to be comprehensive. This document may contain or incorporate by reference public information not separately reviewed, approved or endorsed by Bank of Ireland Group plc and its subsidiar
Slide 52: The New EcoSaver Mortgage
The New EcoSaver Mortgage Search EcoSaver Mortgage You must supply a BER (Building Energy Rating) certificate to avail of the EcoSaver mortgage. Available with fixed rates only. Lending criteria, terms & conditions apply. 18+. Mortgage approval subject to assessment of suitability & affordability. S