Debt investors

Our financing strategy recognises that a strong liquidity position and the availability of committed funding are essential to meeting the Group’s objectives and obligations. Our principal operating subsidiary, Severn Trent Water Limited, is a long term business characterised by multi year investment programmes.

Our key sources of borrowings include bond and European Medium Term Note (EMTN) issues, private placements, bank loans and finance leases.

And we plan to do this in a responsible and sustainable way.

Welcome to our Sustainable Finance Framework that enables Severn Trent Plc and its subsidiaries to undertake future debt issues in a sustainable format. We believe environmental and social responsibility is paramount. We are dedicated to operating in a manner that promotes long-term environmental stewardship and social progress. 

We understand that financial decisions have far-reaching implications, and integrating sustainability into our financial strategies is not just a choice but a necessity. Embracing sustainable finance principles enables us to align our economic goals with our commitment to environmental sustainability, resilience, and inclusive growth.   

Under this Framework, Severn Trent can issue ‘Sustainable Financing Instruments’ in the form of bonds (public and private placements), committed facilities (revolving and term debt from banks and institutional investors) and finance leases.  

Such instruments will allocate spend to one of the following types of use of proceeds label:  

• Green: Assets, capital projects, and selected operational expenditures that contribute to environmental sustainability and the protection of natural resources. These will be grouped into the Eligible Green Portfolio.  
  • Blue: Projects that support sustainable water management, marine and freshwater ecosystems, and climate resilience related to water infrastructure. These will be included within the Eligible Green Portfolio, with specific tracking for Blue Bond proceeds.  
  • Nature: Initiatives that protect, restore, or enhance biodiversity and natural capital, including nature based solutions. These will also be included within the Eligible Green Portfolio, with specific tracking for Nature Bond proceeds.   
• Social: Assets, capital projects, and selected operational expenditures that deliver positive social outcomes for communities and society. These will be grouped into the Eligible Social Portfolio.  

• Sustainable: Assets, capital projects, and selected operational expenditures that contribute to environmental or social objectives. These will be pooled from the Eligible Green Portfolio and Eligible Social Portfolio, respectively, to form the Eligible Sustainable Portfolio. 

The instruments to be issued under this Framework will align with the following Principles and Guidelines:  

• Green: ICMA’s Green Bond Principles (GBP) or LMA’s Green Loan Principles (GLP).  
• Blue: GBP/GLP and the IFC Guidelines for Blue Finance Version 2.03 and ICMA’s Bonds to Finance the Sustainable Blue Economy.  
• Nature: GBP/GLP and ICMA’s Sustainable Bonds for Nature: A Practitioner’s Guide.  
• Social: ICMA’s Social Bond Principles (SBP) or LMA’s Social Loan Principles (SLP).  
• Sustainability: GBP/SBP and ICMA’s Sustainability Bond Guidelines (SBG).  

In alignment with these voluntary Principles and Guidelines, this Framework is structured around the following components:  

• Use of Proceeds  
• Process for Project Evaluation and Selection  
• Management of Proceeds  
• Reporting 

Severn Trent issues notes under its European Medium Term Note (EMTN) programme. Severn Trent plc and Severn Trent Utilities Finance plc are issuers under the programme.

You can read or download copies of the Base Prospectus, together with any supplements thereto, from this list.

You can read or download copies of other programme documents from this list: