Halifax

Is Halifax ethical?

Halifax has been researched and ranked in The Good Shopping Guide’s Ethical Mortgages Ratings Table and receives a low score.

Although our ethical requirements have not yet been met by this company, we hope that in the future, it will make the necessary adjustments to operate as a more ethical business.

More information on the ethical issues faced by the sector, may be found in The Good Shopping Guide’s article on Ethical Mortgages. You can also use our Ethical Mortgages Ratings Table to compare Halifax to other mortgage providers.

What does Halifax do?

Halifax is a bank owned and operated by Lloyds Banking Group. The company was originally founded as a building society in Halifax, Yorkshire, in 1853 but demutualised in 2007. Halifax was acquired by Lloyds Banking Group in 2009 and now operates as a division of the Bank of Scotland, another Lloyds subsidiary.

For which criteria does Halifax score poorly? 

Due to its ownership by Lloyds, Halifax receives a low score across several criteria.

Notably, Halifax receives a bottom rating for Irresponsible Lending, as its parent company, Lloyds, has allegedly financed multiple controversial industries in the past 5 years.

For example, Lloyds was criticised in the 2023 Banking on Climate Chaos report for being one of the world’s top 60 banks involved in fossil fuel financing. According to the report, Lloyds provided over $2.7 billion in financing to fossil fuel companies between 2016 and 2022.

In what areas does Halifax score well for its ethics?

Halifax receives a top rating in the Environmental Report criterion. Despite Lloyds’ involvement in environmentally harmful industries, it regularly publishes detailed Sustainability Reports which set out future targets for improving its environmental record. We hope to see these goals come to fruition in the future.

How can Halifax improve its ethical rating?

The ethical rating of a Finance brand is divided into three categories by The Good Shopping Guide: the Environment, People and Other. Find out more about how we rate.

Significant work is required before Halifax can be considered an ethical brand. However, if Lloyds were to move away from investment in fossil fuels and other controversial industries, it may eventually be able to achieve a top rating in the Irresponsible Lending category. This would improve Halifax’s overall GSG score and progress the brand towards meeting our ethical benchmark.

If you’re interested in learning more about achieving Ethical Accreditation for your brand, please contact us or complete a Free Initial Assessment form.