From 1st July the Council of Mortgage Lenders is integrated into a new trade association, UK Finance. For the time being, all UKF mortgage information will continue to be published on this website, and UKF member-only mortgage information will only be available here.

UK Finance represents around 300 firms in the UK providing credit, banking, markets and payment-related services. The new organisation takes on most of the activities previously carried out by the Asset Based Finance Association, the British Bankers’ Association, the Council of Mortgage Lenders, Financial Fraud Action UK, Payments UK and the UK Cards Association. Please go to www.ukfinance.org.uk for wider content and updates from UK Finance.

Last updated: 25 September 2015

At a glance

  • Japanese Knotweed is an invasive species of plant, originally introduced as an ornamental variety.  If left untreated it can cause physical damage to property. It can, however, be successfully treated and eradicated.
  • The presence of Japanese knotweed or other invasive species might affect the valuation of a property and might be an issue for customers whose property is affected, but who find it difficult to afford treatment costs.
  • Mortgage lenders will normally require evidence of treatment that will eradicate the plant as a condition of lending if knotweed is present on or near the site of a property.
  • There is an Environment Agency Code of Practice for developers on Japanese knotweed; and a Royal Institution of Chartered Surveyors information paper with an addendum published in September 2015 aimed at informing valuers of residential property. 
  • Lenders determine their individual policies on this issue and take into account a range of factors when considering whether to lend.
  • Valuers who inspect property for mortgage purposes are instructed to report to lenders where knotweed is present. The pre-contract enquiries that conveyancers seek as part of the legal process also ask whether Japanese knotweed is present.
  • There are legal restrictions on Japanese Knotweed. Lenders and customers are therefore likely to need professional help with remedial work. Similar considerations apply to other invasive species.
  • More information for consumers is available on our consumer page Japanese knotweed and other invasive plants.

CML position

We note that lenders determine their individual lending policies on Japanese Knotweed and other invasive species. 

Why this is important for lenders

The presence of Japanese knotweed or other invasive species might affect the valuation of a property and might be an issue for customers whose property is affected, but who find it difficult to afford treatment costs.

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