Our approach to Environmental, Social, and Governance (ESG) responsibility

Our ESG Commitment

Monument Bank is committed to building a responsible and sustainable business. Our Environmental, Social, and Governance (ESG) approach is rooted in measurable action and continuous improvement – integrated into every aspect of our operations, products, and relationships.

As a digital bank with no branches and one central office, our direct environmental footprint is naturally lower than traditional banks. However, we recognise our responsibility to lead by example, setting targets and holding ourselves accountable to the highest standards.

We are proud to be accredited to the ISO 14001:2015 standard, demonstrating our commitment to robust environmental management and improvement. Our ESG targets are overseen at Board level, with dedicated leadership to ensure we meet our objectives and comply with evolving regulatory requirements.

Monument is committed to transparent annual reporting of our progress, including our carbon emissions footprint. We actively engage with colleagues and partners to foster a culture of inclusion, innovation, and positive impact for our communities and the environment.

By embedding ESG principles in our business strategy and risk management framework, we aim to support the transition to a low-carbon economy and to contribute to a more sustainable future for all.

‍

Our ESG pillars

1. Environmental responsibility

General: Monument Bank and its subsidiaries commit not to directly invest in fossil fuel-based energy companies, as well as not to directly invest in arms or tobacco companies.
ISO 14001:2015: Monument Bank is proud to be accredited to the globally recognised ISO 14001:2015 standard. This certification demonstrates our commitment to robust environmental management and compliance with international best practice standards. Our environmental management system is regularly reviewed and updated by our Environmental Manager to ensure we minimise our environmental impact and meet our sustainability objectives.

Resource and waste management: We promote recycling, use of recycled products where feasible, and encourage colleagues to adopt green technology in their professional and personal lives. This includes an Electric Vehicle purchase scheme and cycle to work scheme, which are both available to colleagues via a salary sacrifice scheme.
Reporting: We will always aim to publish our full carbon footprint on our website and annual report, including Scope 1, 2, and 3 emissions:
- Scope 1: Direct emissions caused by the bank (on-site gas fuel use)
- Scope 2: Emissions from the energy the company buys (on-site consumption of purchased electricity)
- Scope 3: All other indirect emissions tied to company activities (spend-based)
Carbon neutrality: Monument Bank has maintained carbon neutral status annually since 2022, offsetting all direct and indirect emissions. In 2024, our total market-based emissions were 1,368 tCO₂e, with 89% of our footprint arising from purchased goods and services. We use 100% renewable electricity and have reduced office energy consumption by 17% since 2023.

Our emissions in 2024

Total market-based emissions: 1,368 tCO₂e (vs. 1,127 tCO₂e in 2023).

Market based emissions per employee: 15.6 tCO₂e (vs. 15.0 tCO₂e in 2023).

Market-based emissions per £m turnover: 9.2 tCO₂e (vs. 54.5 tCO₂e in 2023).

‍

Continuous improvement and targets

We set short- and medium-term environmental targets, directly aligned with our Environmental Management System. These include:

Short-term

Maintaining carbon neutral status annually, based on the previous year’s emissions and verified carbon offsetting.
Reducing energy consumption by encouraging colleagues to routinely shut down equipment and by installing lower usage lighting during renovation work.
Installing lower usage lighting as part of any renovation work.
Increasing HVAC efficiency through regular maintenance and cleaning.
Promoting positive waste management practices, with a target to recycle 5% more each year.
Using recycled products where feasible.
Transitioning from a spend-based to an emission-based model for supplier emissions reporting.
Supporting colleagues to adopt green technology, including through electrical vehicle schemes.

Medium term

Ensuring all future Monument-originated buy-to-let loans are for properties with an EPC rating of at least E (or better where regulations/guidance dictates).
Collaborating with supply chain partners to achieve shared climate goals.

‍

2. Social responsibility

General: Monument Bank values the positive impact it can have on society, both through its business practices and through community outreach.
Equity, Diversity & Inclusion: We will actively foster a workplace culture that celebrates equity, diversity and inclusion by creating an environment where all colleagues, regardless of race, gender, sexual orientation, disability, or background, feel valued, respected and included. We have a dedicated ED&I group, with a clearly defined vision and mission, who help to enable this through events and education initiatives. The ED&I group plays a key role in raising awareness and fostering dialogue across the organisation.
Client protection: We commit to fair and transparent practices, ensuring clients have the information they need to make informed decisions.
Wellbeing and Engagement: Monument offers comprehensive benefits, hybrid working arrangements, and invests in learning and development. Our colleague engagement scores are recognised in industry awards such as The Times Best Places to Work, and we regularly survey staff to ensure continuous improvement. We promote wellbeing through our benefits platform and ensure colleagues have access to a wide range of lifestyle resources to support physical and mental health. We encourage a healthy work-life balance and adopt a hybrid working arrangement to support this, led by the leadership team.

‍

3. Governance responsibility

General: Effective governance is essential for ensuring Monument Bank remains accountable, transparent, and aligned with its ESG goals. Our governance structure is designed to promote integrity, responsibility, and ethical decision-making.
Board oversight: ESG is overseen at Board and Executive level, with a dedicated Board ESG Champion and an Environmental Manager at the Executive level. We comply with all applicable laws and maintain ISO 14001:2015 accreditation.
Transparency: We commit to upholding the highest standard of ethical conduct and integrity in all our dealings. We regularly report on ESG performance and publish our carbon footprint, including Scope 1, 2, and 3 emissions.
Ethics & Risk Management: We assess ESG risks across all areas of our business, including financial, operational, and reputational risks. ESG considerations are incorporated into our risk management framework to ensure resilience and sustainability in the face of emerging challenges.