Around half of New Zealanders are more worried about climate change following this year's severe weather events, and the majority are looking for affordable ways to take action in their own lives, according to new research from Westpac NZ.
A survey of 1,142 Westpac customers found that 64% are concerned about the impacts of climate change in New Zealand, but only 31% believe we're doing enough as a country to curb its effects.
An encouraging 93% are making at least some effort to live more sustainably, with recycling, composting and making homes more energy-efficient the most common methods.
Westpac NZ Chief Executive Catherine McGrath says the public clearly feels more urgency around climate action than ever before, and the bank has a range of options to help them reduce their carbon footprint in a cost-effective way.
"It's great to see Kiwis so engaged on the issue of climate change, but time and cost considerations are holding them back from doing more," Ms McGrath says.
"Only a quarter of respondents say they'd be prepared to pay more for higher-emissions goods and services, such as petrol and freight, to help fund initiatives to reduce New Zealand's overall climate impact. Conversely, 63% say they'd consider or are considering making use of an interest-free loan to make their home and transportation more energy-efficient, with 4% already doing so.
"Banks are stepping up with products and solutions to help people make meaningful changes in an affordable way. At Westpac we've developed low-and-no-interest loans to help customers future-proof their homes and transport options while potentially saving on petrol and energy bills.
"This year we've also launched products to support Agri and Business customers by aligning their borrowing costs to sustainability performance."
Westpac is growing its lending across a range of sustainable loan products, as it looks to support customers and align its lending portfolios with a lower emissions economy, including:
- $110m Greater Choices home loan top ups (formerly Warm Up) since launching in 2020;
- 1.0b in Sustainable Farm Loans since launching in June;
- $41m in Sustainable Business Loans since launching in June;
- $13.7m in EV Personal Loans, financing more than 500 EV purchases since launching in 2022.
The bank has also enabled $11.7bn in sustainable finance since 2021, through sustainable lending and bonds, reaching its $10bn target two years ahead of time.
Westpac has just released its annual Sustainability Report and Climate Report, which detail the bank's exposure to climate risks and its efforts to manage those risks and support customers, as well as broader initiatives to build stronger and healthier communities.
"We see our role as stepping up to help our customers take action in their own lives on issues that matter to them," Ms McGrath says.
"These reports outline not just how we're supporting customers and communities, but our assessment of the challenges and opportunities that complex issues like climate change provide.
"We've reduced our own operational emissions by 36.8% from our 2019 baseline, grown our ESG and sustainability teams and upskilled our bankers to better support customers and stakeholders on their sustainability journeys.
"More broadly, we're helping communities tackle a range of key issues, such as improving housing affordability, growing financial capability through our Managing Your Money workshops, and supporting people in vulnerable circumstances through our Extra Care Team.
"We know there's lots more we can be doing, and we'll continue to look for other ways to create a better future for Aotearoa as we look to 2024 and beyond."
Published alongside the full report, Westpac's Sustainability Snapshot highlights the bank's key initiatives over the past year.
