Speeding up the energy transition: From 2022, Crédit Mutuel Alliance Fédérale will offer members and customers a home renovation loan

Adopted in the context of the Climate and Resilience law of 22 August 2021, the home renovation loan (Prêt Avance Rénovation) is designed primarily to help transform 4.8 million housing units that show high levels of heat escape.

Owners of a home with an energy rating of F or G will be able to use the home renovation loan to upgrade the energy performance and accelerate upgrading and insulation work. Available as a supplement to existing public support to finance remaining renovation work, the home renovation loan will be repayable on the sale or inheritance of the property. Interest will be payable on a flow basis or at the end.

This new type of loan will help to immediately reduce the energy bill for members and customers, enabling them to upgrade their properties without overly straining their budget in the short to medium term. Unlike traditional financing solutions, this loan will be open to all, in particular lower income households and retired customers.

It will also play a role in reducing carbon emissions and combating global warming, in accordance with the Paris Climate Accord. Energy improvements to such properties is a key axis of the government’s energy transition policy.

In a meeting today with Emmanuelle Wargon, Minister of the Ecological Transition, Nicolas Théry made a commitment on behalf of Crédit Mutuel Alliance Fédérale and its 13 federations to begin offering this loan in 2022¹.

As the first bank to have adopted a corporate mission statement, Crédit Mutuel Alliance Fédérale is showing further proof of a tangible commitment to the ecological and climate transformation.

"Renovation around energy must be accessible to all. This solution will help in this regard. Crédit Mutuel Alliance Fédérale welcomes the work undertaken by the Ministry of the Economy, Finance and the Recovery and the Ministry of the Ecological Transition to enable the home renovation loan to be in place from the start of 2022", says Nicolas Théry, Chairman of Crédit Mutuel Alliance Fédérale.

¹ Subject to regulatory provisions introduced by the State between now and the end of the year, based on the advice of the Council of State and the Legislation and Financial Regulation Advisory Committee.