The launch of biodiversity net gain in February 2024 was widely celebrated in the environmental sector as a potential game-changer. A pragmatic, forward thinking measure to facilitate a more sustainable approach to development, compensating for damage done to natural habitats while unlocking vital funding to support new nature recovery initiatives.

Avon Needs Tree’s latest project, to create the South-West’s largest new woodland in a generation, was made possible by the advent of BNG. The purchase of the land for Lower Chew Forest just would not have been possible without it. BNG was a crucial cog in an innovative public-private finance model that might also provide a case study for how similar nature recovery projects around the UK might be funded.

So on the first anniversary of BNG, how has the scheme panned out? 

Avon Needs Trees has entered the market of supplying high quality offsite BNG credits to carefully vetted developers in the region. Our experience has reflected that of the market more widely; the demand for credits has been much lower than expected and than we were told to expect. The reasons for that aren’t entirely clear, perhaps a sign that the system has yet to fully kick into gear, that both developers and suppliers are feeling their way.

Much uncertainty certainly remains around the market which is itself a contributing factor to take up.

BNG offers a once in a generation opportunity to balance the protection and regeneration of nature with continued essential development. Without natural capital models like this, vital projects needed to stem the rapid loss of biodiversity, to mitigate the effects of climate change, to introduce future-proofed approaches to agriculture and farming, will stall. The scale and pace of nature recovery that is needed will not happen.

What is needed is a clear commitment from central government to BNG with as few exceptions as possible. Serious engagement at regional and local government level is required to ensure the rules are stringently enforced – particularly for on-site BNG where good governance is less likely to be in place.

Understanding from the finance sector is also critical. We found an aligned partner in specialist Triodos Bank, providing us with a £3.85m loan to support our work. Simon Crichton, Head of Nature, Food and Resource at Triodos Bank UK, says: “It’s crucial that we create more investable business models connected to nature restoration, using both government policy and private investment in tandem. BNG has the potential to do this, and is a positive step towards boosting nature markets and financing nature restoration at scale.”

With this leadership, BNG can act as a vital bridge between sustainable development, the recovery of our natural resources and the UK’s climate commitments.

Without it, the UK’s nature (and the charities and organisations which are helping it to recover, incluing Avon Needs Trees), could end up going backwards as a result of BNG, rather than benefiting from it.

To read more about ANT’s involvement in BNG, read our BNG FAQs. 

If you’re a developer interested in finding out more about our BNG credits, take a look at our BNG page.