Environmental, social and governance (“ESG”) factors are now a critical part of a funder’s credit analysis, with provisions being incorporated into loan documentation to incentivise borrowers to pursue an ESG strategy.  While the initial attraction of sustainable finance was cheaper pricing, there is now a growing acknowledgement in the market that the cost of compliance with ESG policies may well exceed the benefit of any loan pricing reduction. However, the need for compliance with new sustainability legislation paired with increased societal awareness of the need for energy efficiency and reputational concerns, has affected business’ investment strategies meaning that sustainable financing remains a key focus in the lending market.  Sustainable lending will often be judged against criteria, either set at the time of closing or developed post completion. The materiality of ESG information will differ depending upon the nature of a borrower’s business, with the considerations for healthcare providers and life sciences companies differing from those in other sectors. However, there is a need in the finance market for consistency and guidelines for participants to follow.