The Irish Green Building Council (IGBC) has introduced a new sustainability certification tailored to small and medium-sized homebuilders, giving them a structured route to qualifying for lower-cost green development finance while raising the environmental standard of new housing across Ireland.

Known as Home Performance Pathway, the certification addresses key sustainability metrics including carbon emissions, water efficiency, biodiversity, and waste, alongside health and comfort indicators such as indoor air quality, acoustic performance, and summer thermal comfort.

It functions as an entry point to the IGBC's established Home Performance Index (HPI), which certified over 3,500 dwellings in 2025 and is widely used across larger housing developments.

SMEs account for more than 80% of turnover in Ireland's construction sector, yet have historically lacked the tools to demonstrate sustainability credentials required by green finance providers — a gap the new pathway is designed to close.

Pat Barry, CEO of the IGBC, said the certification "provides an accessible route for smaller homebuilders to start integrating sustainability into their schemes," adding that it would help SME builders "thrive in a future where all finance is dependent on proof of sustainability."

Minister for Housing James Browne welcomed the initiative, describing it as a collaborative approach between the IGBC and the financial and construction sectors. He said the pathway would enable SME developers to qualify for lower-cost finance, "helping to accelerate the delivery of sustainable homes across the country" in line with the government's target of at least 300,000 new homes by 2030.

John Delahunty of AIB Real Estate Finance described the launch as "a significant milestone," stating that it offered "a clearer, achievable path to sustainable construction, accelerating the shift to a low-carbon built environment."

Bank of Ireland's head of residential and development finance, Brian Gaffney, said the bank was "pleased to support efforts that strengthen communities and encourage the building of high-quality, energy-efficient homes across the country."

Ireland has committed to cutting carbon emissions by 51% by 2030, with sustainable housing delivery a central plank of that strategy.

Find out how the Home Performance Pathway is reshaping access to green finance for Ireland's SME construction sector in the complete report.