Local relationship bank Handelsbanken is to develop new asset lending products that incentivise low-emission and electric vehicles, supporting companies and private drivers to make the switch.

Supported by Experian’s data, Handelsbanken will then create new lending products that could incentivise new, and existing, borrowers to select low-emission or electric vehicles in the future

The Swedish bank has operated in the UK since 1982, using a decentralised way of working, with a strong local presence due to a nationwide network of branches and a long-term approach to customer relations.

To support its plans to go net zero by 2040, it’s signed a new data partnership with Experian that aims to reduce carbon emissions on UK roads.

By sharing data insights, including information on CO2 emissions, Experian will be able to help Handelsbanken understand what percentage of vehicles within its asset finance portfolio are considered high- or low-emission. Handelsbanken will then create new lending products that could incentivise new, and existing, borrowers to select low-emission or electric vehicles in the future.

Mark Broadley, product owner of asset finance at Handelsbanken, said: “We’ve always felt a strong sense of responsibility to our communities, which is why Handelsbanken has set an ambitious target of achieving net zero by 2040. As a bank, the greatest impact we can have is through what we finance and what we invest in. That’s why we need reliable data – in this case on our asset finance customers’ vehicle emissions – so that we can support them on their own low-carbon transition journeys.”