INSIGHTS / BNG KNOWLEDGE HUB
For landowners
- Could my land be suitable for BNG?
- How much could my land be worth for BNG?
- How are BNG units calculated?
- What is a BNG baseline survey?
- What is an HMMP?
- What happens to my land for 30 years?
- What is the difference between a Conservation Covenant and a s106 agreement on my land?
- BNG: what does a landowner actually have to do?
- How are BNG payments structured?
- What risks should landowners consider?
For developers
- What must all developments meet for BNG?
The 10% uplift is required whether or not the development impacts existing biodiversity.
You cannot create off-site biodiversity gains by removing habitats and then putting them back. If you damage habitats on your land, you’ll have to make up for the damage before you can make a gain.
- What must all developments meet for BNG?
There are 3 ways a developer can achieve 10% BNG uplift.
1. Enhance and restore biodiversity on-site (within the red line boundary of a development site).
2. If developers cannot achieve all of their BNG on-site, they can deliver through a mixture of on-site and off-site. Developers can either make off-site biodiversity gains on their own land outside the development site, or buy off-site biodiversity units on the market.
3. If developers cannot achieve on-site or off-site BNG, they must buy statutory biodiversity credits from the government. This should be a last resort and is the most expensive route to secure BNG. The government will use the revenue to invest in habitat creation in England.
- What are off-site BNG units?
Off-site BNG units are biodiversity units generated on land outside the boundary of a development site. These units are created through habitat creation or enhancement on separate land, often owned by private landowners.
- When does a developer need off-site BNG?
Off-site BNG units are needed when biodiversity uplift cannot be fully achieved on the development site itself. They are linked to a specific development site and must be formally allocated to it.
- How do I find BNG units?
In the UK, Biodiversity Net Gain (BNG) units are registered on the Biodiversity Gain Sites Register, maintained by the Department for Environment, Food & Rural Affairs (DEFRA). You can search for registered BNG sites using the official register here Search the biodiversity gain sites register - GOV.UK . Additionally, the BNG Map provides a spatial view of all registered off-site locations, which can be accessed. This information is essential for developers and landowners looking to meet biodiversity offset requirements.
- What information should I ask for before buying BNG units?
When buying off-site Biodiversity Net Gain (BNG) units in the UK, look for a provider or broker that offers legally secured habitat banks (via Section 106 agreements or conservation covenants), transparent registration on the official Biodiversity Gain Site Register, clear 30-year management and monitoring commitments, and units that match your specific metric and geographic requirements.
- How much do BNG units cost?
BNG units vary in price due to the type of the BNG category, the scarcity of the habitat and the cost to establish and maintain over the 30 year period.
- What is the difference between on-site and off-site BNG?
On-site BNG units are where the development site creates its own BNG. If a development site can produce an additional 10% of BNG to offset the baseline BNG lost to the development, no off-site BNG is required. Off-site BNG is required, where the development site cannot create the lost BNG plus the additional 10%.
- What is the process for securing off-site BNG?
You can buy off-site biodiversity units:
- directly from a landowner
- from a habitat bank operator
- through a broker
- from a trading platform
- from your LPA (if they provide this service).
The land manager you buy from will need to register the gain site on the national biodiversity gain site register before, at the same time as, or after you buy units on it. Sites on the register may be allocated to specific development projects to help them achieve their biodiversity gain target.
- What should developers consider when assessing a BNG provider?
- Clear Payment Terms: Look for structured transaction schedules, such as secure deposit options and milestone payments linked to planning approval.
- Market Track Record: Prefer established brokers or habitat bank operators (such as specialist environmental firms or trust networks) that provide standard, balanced legal documentation to avoid prolonged legal costs.
- Assurance credits will be valid for the 30 years: Prefer landowners that provide high levels of assurance that the BNG credits will be achieved and maintained for the full 30 years.
This avoids the risk of reputational damage to the developer in the future.
10% BNG increase rules
Overview
Core Trading Rules for Offsetting
Habitat Modules
Lost habitats must be replaced on a like-for-like or like-for-better basis using the government's Statutory Biodiversity Metric. You cannot freely substitute lower-value habitats for high-distinctiveness losses. Compensation must match specific habitat types, distinctiveness bands, and distinct unit categories.
Habitat Modules
Core Trading Rules for Offsetting
Habitat Modules
The metric divides biodiversity into three distinct, non-interchangeable modules: [1, 2]
- Area Habitats: (e.g., grasslands, woodlands)
- Hedgerows: Linear shrub boundaries
- Watercourses: Rivers, streams, and ditches.
Units from one module cannot offset losses in another. For example, removing an area of grassland cannot be compensated for by planting a hedgerow, regardless of score.
Core Trading Rules for Offsetting
Core Trading Rules for Offsetting
Core Trading Rules for Offsetting
Like-for-Like or Like-for-Better: You must replace lost habitat with the same habitat type and distinctiveness, or a higher distinctiveness band.
Distinctiveness Constraints: Low-distinctiveness habitats cannot be used to compensate for the loss of medium, high, or very high distinctiveness habitats.
High/Very High Distinctiveness: If yo
Like-for-Like or Like-for-Better: You must replace lost habitat with the same habitat type and distinctiveness, or a higher distinctiveness band.
Distinctiveness Constraints: Low-distinctiveness habitats cannot be used to compensate for the loss of medium, high, or very high distinctiveness habitats.
High/Very High Distinctiveness: If you impact high or very high distinctiveness habitats, you must create or enhance the exact same habitat type.