What is Biodiversity Net Gain?
BNG is mandatory legislation that requires development to calculate its impact on nature and compensate with a minimum 10% net gain.
If you’re a developer, you must follow the mitigation hierarchy to minimise your impact on nature. Losses that cannot be compensated for within the development boundary can be offset off-site, through the purchase of BNG Units.
Units are categorised by habitat type and are incentivised to be provided within the same LPA as the development. As a result, prices vary significantly and can account for up to 12% of project GDV.
Wild Capital, provide developers with a complete set of services, that are ready for your immediate use, and various purchasing options, to make the process simple, reducing risk, costs and requirement for long-term management.
Read our ‘Guide to BNG for Developers’ for more information.
Request a free copy of our ‘Practical Guide to BNG for Developers’
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The BNG landscape
Mandatory legislation for all LPAs in England
Requires 10% net gain on biodiversity loss
Habitats must be managed and protected for at least 30 years
3 measurements of biodiversity; area, hedgerows, watercourses
Can be mitigated on-site or off-site
Product features
When you buy BNG Units from us, you can expect:
To discharge liability
BNG’s 30-year management and monitoring liability is absolved to Wild Capital. The developer can walk away, with no risk of legislation enforcement.
Verified units
All schemes are verified by a qualified independent 3rd party to ensure they comply with the Environment Act 2021.
Permanent impact
Uniquely, we protect our land to nature for perpetuity rather than the statutory 30 years. This helps to safeguard the developer’s reputation, reduce local planning objections, and strengthen planning negotiations with the LPAs.
Reliability
We own the land generating the units. We have complete control over the legal, establishment and management process.
National Coverage
We can supply offsets nationally, including within highly constrained LPAs. If we don’t already have a scheme, we have a dedicated land-buying team and have options over BNG donor sites.
High-distinctiveness units
We can deliver high-distinctiveness units, including those that change the land permanently.
To support schools
Local schools can access and study our schemes for free, inspiring a future generation.
Free media assets
Clients are provided with free commercial media to document the impact their BNG units have.
Insured projects
All of our projects are insured for at least 30 years. If habitats fail or are damaged, they are restored to ensure they deliver the habitat we promise.
Purchasing options
We have developed three purchasing options, to support clients with a variety of needs
Habitat banks
An area of land that is restored to create a bank of offset units that can then be allocated and sold. We have a growing strategic network of habitat banks with offsets ready for immediate use from river units to lowland meadows. Our habitat banks are flexible, allowing developers to specify the offsets they want.
Build-to-Order
Bespoke schemes that deliver multiple habitat types, including high-distinctiveness habitats, specifically delivered for individual developments or pipelines. Developers have access to the specific number and type of offsets they need quickly and at competitive prices within the location where they need them.
Option Contracts
Provides the right, but not the obligation, to buy BNG units in the future (within a fixed time), at terms agreed today, securing price and availability. Reducing upfront offset costs and providing long-term risk mitigation for developers through an uncertain planning process.
Compare our BNG
purchasing solutions
Features |
Habitat Bank |
Build-to-order |
Option |
Standard Habitat Bank |
|---|---|---|---|---|
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High integrity units independently verified |
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Intensive ongoing monitoring & maintenance |
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Habitats insured |
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Support local schools |
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Media content |
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Nature protected for perpetuity |
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(30 years) |
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Habitat types created |
Common habitats |
All habitats |
All habitats |
Common habitats |
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Availability |
Immediate |
6 months + |
9 months + |
Immediate |
|
Location |
Habitat bank network |
All LPAs |
All LPAs |
Varies |
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Commitment at order |
Reservation fee (10%) |
Supply fee (2-5%) + reservation fee |
Option premium (≤4%) depending habitat & period |
Reservation fee (10-40%) |
|
Assignable |
No |
No |
Yes |
No |
|
Price secured for |
Up to 12 months |
Up to 12 months |
Up to 5 years |
Varies (up to 12 months) |
Buying process
Developers buy BNG units from us in three ways. The suitability varies depending on your timeframe, the types of habitats required, and the order value.
Build-to-order and option contracts have a lead time, are most suitable for less common habitat types, and have a minimum order value.
BNG Unit Finance
We can supply units within a few weeks or over several years and work closely with developers and lenders to make BNG offsetting viable. Based on your specific needs, we’ll find the most cost-effective way to supply them.
Typically, developers pay a reservation fee to secure an order and a settlement fee when we deliver the units. However, we can offer payment terms (subject to the client’s financial position) to spread costs further along the development process.
Where next?
Nutrient Neutrality credits
Nutrient Neutrality requires that new developments must not increase the load of nutrients entering the local watercourses. Find out more about our NN credits, and how they can support your developments.
About us
Wild Capital combines financing and ecological delivery to enhance the regeneration of UK biodiversity, at scale. With expertise in environmental restoration, large-scale development, planning, and finance, we aim to be the leading environmental offset provider.
Quick answers to questions you may have
Can’t find what you’re looking for?
Contact us here:
info@wild-capital.co.uk
Who must consider BNG?
It is mandatory for all developers, for new developments of all sizes and use class to go through the process of calculating biodiversity loss and compensating accordingly, ensuring a net gain of 10% (measured by the standard metric). This is required across the UK.
Are there any exemptions to BNG?
There is a couple of exemptions to BNG referred to as the de minimis exemption;
- A development on a solely sealed surface
- A development which only marginally impacts a garden habitat
- A very small development within an established wood
It is unlikely that these exemptions will be relevant for most new build / commercial developments across the UK.
How does habitat distinctiveness impact the process for BNG?
Habitats lost in the development process can only be offset by the same grade distinctiveness habitat or higher, very high distinctiveness habitats cannot be offset through purchasing units.
How much does a BNG offset unit cost?
The cost of a unit varies depending on the habitat being offset, the site location in relation to the offset location (are they in the same LPA or not) and the market at the time. BNG offset units are a commodity and the cost is impacted by supply and demand. There are statutory credits available, but these are often more expensive than private market units. We have developed a cost index on our resource page to provide an indication of the current market.
For BNG legislation purposes what is considered a minor development and what is considered a major development?
Both types of developments are now mandatory for BNG legislation requirements, regardless of how they are categorised. However, the classification follows the same as the planning system.
Minor = 1 – 9 dwellings. Floorspace less than 1000sqm. Sites less then 1 hectare.
Major = Anything more than the above
What happens after the mandated 30 years of habitat protection?
Currently the legislation does not require the habitats to be managed and protected beyond 30 years, however it is unclear as to whether this will remain this way. Depending on the distinctiveness of habitat created to offset there may be other protections in place for that habitat in the future, meaning that to revert land to previous use could become extremely difficult. Wild capital guarantees our schemes to be protected in perpetuity, meaning that any legislation alterations will not affect our future plans, or responsibilities.