Recommendations & Conclusions
21 items
1
Conclusion
Seventh Report - Building Safety: Remed…
We repeat our previous calls for further mental health support for those affected by the building safety crisis.
Government response. We recognise that the building safety crisis has had a negative effect on many residents; leaseholders, who are blameless, have been shouldering a desperately unfair burden and for some this has had an adverse impact on their mental health. Government …
Ministry of Housing, Communities and Local Government
2
Recommendation
Seventh Report - Building Safety: Remed…
In the absence of PAS-79 guidance which was withdrawn in August 2021, it is imperative that the British Standards Institute publish its new standard as soon as possible. We urge the Government to report on its consultation on Personal Emergency Evacuation Plans at the earliest opportunity. (Paragraph 6) Protecting leaseholders …
Government response. The development of any new PAS guidance is a matter for the British Standards Institution to consider and as such the Government is unable to comment on this. As Lord Greenhalgh stated at the Third Reading of the Building Safety …
Ministry of Housing, Communities and Local Government
3
Conclusion
Seventh Report - Building Safety: Remed…
The Secretary of State said the Government would protect leaseholders from remediation costs, but too many leaseholders will fall through the cracks of the Government’s piecemeal measures. As the Government’s proposals currently stand, the only leaseholders who will not pay for building safety remediation are those who have already not …
Government response. We have delivered robust protections for leaseholders, completely reversing the legal presumption that leaseholders are automatically responsible, with uncapped and unlimited liability, for all costs associated with historical building safety defects. These protections are significant and far-reaching. Our protections will …
Ministry of Housing, Communities and Local Government
4
Conclusion
Seventh Report - Building Safety: Remed…
Leaseholders are no more to blame for non-cladding defects than they are for faulty cladding on homes they bought in good faith. Buy-to-let landlords are no more to blame than other leaseholders for historic building safety defects, and landing them with potentially unaffordable bills will only slow down or prevent …
Government response. We have delivered robust protections for leaseholders, completely reversing the legal presumption 8 that leaseholders are automatically responsible, with uncapped and unlimited liability, for all costs associated with historical building safety defects. These protections are significant and far- reaching. Our …
Ministry of Housing, Communities and Local Government
5
Recommendation
Seventh Report - Building Safety: Remed…
Our longstanding view is that leaseholders should not pay a penny to rectify faults not of their doing and to make their homes safe. The amendments tabled to the Building Safety Bill show that the Government does not share that view. The Government should scrap the cap on non-cladding costs …
Government response. We have delivered robust protections for leaseholders, completely reversing the legal presumption 8 that leaseholders are automatically responsible, with uncapped and unlimited liability, for all costs associated with historical building safety defects. These protections are significant and far- reaching. Our …
Ministry of Housing, Communities and Local Government
6
Recommendation
Seventh Report - Building Safety: Remed…
We do not agree with the Government’s proposal that only buy-to-let landlords with one other property should be included in the statutory protections for leaseholders. Should the Government continue to treat buy-to-let landlords differently to other leaseholders there are other options available to exclude wealthy property tycoons from the protections …
Government response. Our policy is fundamentally designed to protect leaseholders living in their own home (including those who have moved out and sublet, and shared owners). All buy-to-let landlords, regardless of their UK property portfolio size, will always be covered for their …
Ministry of Housing, Communities and Local Government
7
Conclusion
Seventh Report - Building Safety: Remed…
Our preferred option would be for the Government to table amendments to the Building Safety Bill to ensure that all leaseholders in buildings of any height have statutory protection from future costs for remediating historic building safety defects, both cladding and non-cladding.
Government response. Our assessments have shown that there is no systemic fire safety issue in buildings below 11 metres. The fire safety risk for these buildings are far lower than those in taller buildings, and where there are concerns identified these low-rise …
Ministry of Housing, Communities and Local Government
8
Recommendation
Seventh Report - Building Safety: Remed…
Instead of its piecemeal method of funding remediation according to building height and type of defect, the Government should implement our previously recommended Comprehensive Building Safety Fund. The fund should cover the costs of remediating all building safety defects on buildings of any height where the original “polluter(s)” cannot be …
Government response. We believe that establishing a “Comprehensive Building Safety Fund” as the Committee recommends would drive unnecessary remediation works to the detriment of leaseholders. The Government is advocating a proportionate approach to building safety. This will deliver a safe level of …
Ministry of Housing, Communities and Local Government
9
Recommendation
Seventh Report - Building Safety: Remed…
It is completely unacceptable that, nearly five years after the Grenfell tragedy, the Government still does not seem to know how many buildings have unsafe cladding or other historic building safety defects. We commend the Secretary of State for finally seeking information from developers and manufacturers, and commend industry for …
Government response. We are committed to publishing information in data releases as soon as it is appropriate to do so. We currently publish a monthly data release on progress with remediation of unsafe ACM cladding. We also publish a monthly update on …
Ministry of Housing, Communities and Local Government
10
Recommendation
Seventh Report - Building Safety: Remed…
We commend the Government for finally taking action to require industry players to remediate and pay for faults of their own doing, and we commend those organisations who have already done so. However, developers and manufacturers are not the only sectors that contributed to the building safety crisis, and we …
Government response. The Government agrees with the Committee’s recommendation that those responsible for building safety defects should be made to contribute to the costs of remediation. Alongside its negotiations with developers the Government has been engaged in discussions with various product manufacturers …
Ministry of Housing, Communities and Local Government
11
Recommendation
Seventh Report - Building Safety: Remed…
Governments share responsibility for the building safety crisis on account of their regulatory failings. Everyone involved would instantly have more funds to spend on remediation if the Government played its part by removing VAT on building safety activity, which would enable homes to be made safer. The Government should remove …
Government response. The Government is committed to supporting leaseholders and ensuring essential works are taken forward. The supply of fire safety equipment, under qualifying circumstances is already eligible for VAT relief when provided alongside the construction and renovation of residential or charitable …
Ministry of Housing, Communities and Local Government
12
Recommendation
Seventh Report - Building Safety: Remed…
While insurance premiums for leaseholders have gone up, buildings have become safer as a result of remediation works that have been carried out. The risk to insurers has reduced as a result. Insurers should be required to contribute to funds for remediation as they covered the actions of developers who …
Government response. On 28 January, the Secretary of State called on the Financial Conduct Authority (FCA) and the Competition and Markets Authority (CMA) to review buildings insurance premiums for people living in medium and high-rise blocks of flats. Although the initial request …
Ministry of Housing, Communities and Local Government
13
Conclusion
Seventh Report - Building Safety: Remed…
Product manufacturers found to have been criminally responsible for defective products extending back 30 years must be legally required to automatically replace faulty materials free of charge, including compensating others who have already paid to replace the materials in question.
Government response. The Building Safety Act introduces a range of provisions related to construction products . These are intended to require construction products companies to contribute towards the cost of putting right building safety defects that they have contributed to causing. First, …
Ministry of Housing, Communities and Local Government
14
Recommendation
Seventh Report - Building Safety: Remed…
The Government rightly proposes to take strong action against UK firms, however its options against overseas firms who have also contributed to the building safety crisis are more limited. The Secretary of State told us that to reveal its options would be showing too much of the Government’s hand. The …
Government response. Where they are responsible for the development of in scope buildings, the Government has engaged with overseas developers and firms as part of its negotiations with industry to provide a funded solution for the remediation of unsafe cladding in England. …
Ministry of Housing, Communities and Local Government
15
Recommendation
Seventh Report - Building Safety: Remed…
As they stand, the Government’s proposals create a bizarre lucky dip in which some leaseholders may see their costs capped at £10,000 (£15,000 in London); some, because they have not yet paid for cladding remediation, may pay nothing at all; and others, who have already paid for cladding remediation, will …
Government response. This information has not been collected systematically by the department, and the department does not have plans to collect this information from leaseholders.
Ministry of Housing, Communities and Local Government
16
Recommendation
Seventh Report - Building Safety: Remed…
The Government should table new amendments to the Building Safety Bill to ensure that, where the “polluter(s)” still exist, industry players must compensate leaseholders for remediation and interim costs already paid out and must pay for works that have been started or specified. In line with principles already set out …
Government response. The Building Safety Act makes it a legal requirement for building owners to exhaust all other routes to fund essential building safety work before passing any costs onto leaseholders. We have been in intensive talks since January with the homebuilding …
Ministry of Housing, Communities and Local Government
17
Recommendation
Seventh Report - Building Safety: Remed…
The Government must stop pitting the building safety crisis against the housing crisis. Without access to funds for remediation where social tenants live, residents of social housing are paying the price through the diversion of funds from maintaining their homes and other vital services provided by housing associations and councils. …
Government response. Social housing providers have access to the £400m Social Sector ACM Cladding Remediation Fund for the removal and replacement of unsafe ACM cladding systems. Social housing providers were also eligible for the Building Safety Fund for other combustible cladding types …
Ministry of Housing, Communities and Local Government
18
Conclusion
Seventh Report - Building Safety: Remed…
Social housing providers must be exempt from the Building Safety Levy and any other taxes or levies connected to building safety remediation. Social housing providers must be exempt from requirements to fund and undertake necessary remediation on buildings they played a role in developing where they were the customer of …
Government response. We are already considering an exemption from the levy for affordable housing as a whole, which includes social housing, housing for rent or sale at least 20% below market rent or sale rates, shared ownership, and rent to buy. This …
Ministry of Housing, Communities and Local Government
19
Recommendation
Seventh Report - Building Safety: Remed…
The Government must commit to protecting the Affordable Homes Programme at its current level should it fail to recover sufficient funds from industry. (Paragraph 51) Guidance on building safety
Government response. The Government is confident that funding from industry will cover the cost of remediation of unsafe cladding in buildings between 11-18 metres. Our negotiations with the industry at the start of this year have resulted in leading housebuilders committing to …
Ministry of Housing, Communities and Local Government
20
Recommendation
Seventh Report - Building Safety: Remed…
Given that the introduction of the PAS 9980 will not result in the elimination of EWS1 forms, we remain concerned that uncertainty will remain about the safety of buildings and will continue to stymie those trying to sell their homes. We welcome the work being done with lenders to try …
Government response. The Government remains committed to setting up a state-backed professional indemnity insurance scheme for assessors undertaking EWS1 forms. We recognise that the demand for qualified professionals to undertake fire risk appraisals to PAS 9980 standards may increase and is taking …
Ministry of Housing, Communities and Local Government
21
Recommendation
Seventh Report - Building Safety: Remed…
The evidence we received clearly indicates that it should be the regulator—and not building owners—who decides whether a building needs a fire risk assessment. As such, we recommend that the Building Safety Regulator decides whether a building needs a fire risk assessment; sets the standard that a building need to …
Government response. Responsibility for conducting fire risk assessments sits with the Responsible Person under the Fire Safety Order. These assessments can be audited by fire and rescue services who can take enforcement action should it be required. As the person accountable for …
Ministry of Housing, Communities and Local Government