Select Committee · Public Accounts Committee

Flood defences

Status: Closed Opened: 25 Oct 2023 Closed: 3 Apr 2024 5 recommendations 22 conclusions 1 report

Lives, livelihoods and wellbeing are put at risk by flooding and coastal erosion. According to the Environment Agency (EA), an estimated 5.2m homes and businesses in England are at risk of flooding, and around 700 properties are vulnerable to coastal erosion over the next twenty years. Government set the EA a target of better protecting …

Clear

Reports

1 report
Title HC No. Published Items Response
Seventh Report - Resilience to flooding HC 71 17 Jan 2024 27 Responded

Recommendations & Conclusions

19 items
2 Conclusion Seventh Report - Resilience to flooding Accepted

Publish robust forecasts for properties better protected and plans to ease small project approvals.

The Environment Agency is forecasting that it will provide protection for at least 40% fewer properties than planned. When the programme was launched in 2020, the government committed to provide better protection for 336,000 properties by 2027 by investing £5.2 billion in new flood defence projects. The programme got off …

Government response. The government agrees and has implemented several measures to make smaller flood defence projects easier to approve, including a £100 million Frequently Flooded Allowance, simplified business case processes, and increased local approval delegations. It is also preparing further improvements and …
HM Treasury
3 Recommendation Seventh Report - Resilience to flooding Accepted

Set out value for money of capital and maintenance budget options for flood defence.

Defra has not established what the appropriate balance is between building new defences and maintaining existing ones. The Agency is responsible for maintaining its existing assets and has assessed that optimal value for money is achieved when 98% of its high consequence assets are maintained at their required condition. A …

Government response. The government agreed to the recommendation and committed to continuing to identify the optimal balance of capital and maintenance. They will write to the Committee by Spring 2025 with an updated value for money assessment after the next spending review.
HM Treasury
4 Conclusion Seventh Report - Resilience to flooding Accepted

Identify local authority skills and resources needed to implement Schedule 3 and drainage guidance.

The risks from surface water flooding are increasing, but Defra is not providing the necessary leadership and support for local authorities on how this will be addressed. Surface water flooding is a growing issue with 3.4 million properties at risk in England. In July 2021, parts of London received a …

Government response. The government agreed and stated the Agency is already providing guidance and training through various initiatives like webinars and a new projects site. They committed to working with local authority representatives to understand training needs and fill identified gaps.
HM Treasury
7 Conclusion Seventh Report - Resilience to flooding Accepted

Strengthen follow-up on planning advice and reduce new development in high flood risk areas.

We are concerned that new housing continues to be built in areas of high flood risk without adequate mitigations. Although the Agency is a statutory consultee for planning applications, it does not have powers in the planning process to prevent any development on flood plains without mitigation. The Agency told …

Government response. The government agreed and noted work is underway to introduce National Development Management Policies to elevate the legal status of national planning policies on flood risk. It also committed to keeping flood risk and planning policy under review.
HM Treasury
1 Conclusion Seventh Report - Resilience to flooding Accepted

Public Accounts Committee scrutinised Defra and Agency's flood risk management and defence assets.

On the basis of a report by the Comptroller and Auditor General, we took evidence from the Department for Environment, Food & Rural Affairs (Defra) and the Environment Agency (the Agency) about their long-term ambition and objectives for flood risk, their understanding and management of flood risk, and their progress …

Government response. The government stated it is developing a methodology for measuring and reporting ‘net’ change in flood risk, with the new National Flood Risk Assessment (NaFRA2) due by the end of 2024, enabling reporting from 2025. Further work will assess appropriate …
HM Treasury
10 Conclusion Seventh Report - Resilience to flooding Accepted

Environment Agency failed to meet reduced asset condition target, increasing flood risk for 203,000 properties.

The Agency has not been able to reach even the 94.5% level. In summer 2023, only 93.5% of the Agency’s high consequence assets were at the required condition.14 203,000 7 Q 65; C&AG’s Report, para 11 8 Q 65 9 C&AG’s Report, paras 6, 1.8 10 Q 43 11 C&AG’s …

Government response. The government acknowledges the committee's observation on asset condition targets, stating the Agency is working to identify the optimal balance of capital and maintenance to maximise value for money. It confirms the transfer of £25 million to the maintenance budget …
HM Treasury
11 Conclusion Seventh Report - Resilience to flooding Accepted

Defra and Agency failed to assess £310 million capital underspend for maintenance shortfall.

HM Treasury gives departments some flexibility to switch money between the capital programme and maintenance funding, for example if capital spending is delayed. Because of the slow start to the capital programme, the Agency spent £310 million less than planned in the first two years. Defra and the Agency did …

Government response. The government acknowledges the committee's observation on budget management, stating that the Agency is working on improved evidence to identify the optimal balance of capital and maintenance funding to maximise value for money. It also confirms the £25 million transfer …
HM Treasury
12 Conclusion Seventh Report - Resilience to flooding Accepted

Environment Agency lacks power to prevent building on flood plains without mitigation.

We have reported previously on the government’s current strategy not to build houses on flood plains unless there was no alternative and that any development on flood plains should not increase the risk of flooding.19 The Agency is a statutory consultee on planning applications that may increase flood risk.20 However, …

Government response. The government acknowledges the committee's observation about building on floodplains, affirming that its policy avoids inappropriate development and noting the high compliance with Agency advice. It also highlights the DLUHC's role in enforcement, new measures from the Levelling Up and …
HM Treasury
13 Conclusion Seventh Report - Resilience to flooding Accepted

Significant planning applications proceed against Environment Agency flood risk advice despite compliance rate.

The Agency told us it comments on about 110,000 land use planning applications each year, and most of these comments are about flood risk. The Agency told us that 99% of new homes’ planning applications complied with the Agency advice. However, it also told us that in recent years a …

Government response. The government acknowledges the committee's observation by reiterating the high compliance rate with Agency advice and clarifying that DLUHC is responsible for planning policy and enforcement. It also highlights new enforcement measures via the Levelling Up and Regeneration Act 2023 …
HM Treasury
15 Conclusion Seventh Report - Resilience to flooding Accepted

Surface water flooding risks increasing, impacting 3.4 million properties, challenging accurate forecasting and warning.

The risks from surface water flooding are increasing and will continue to increase due to climate change.24 3.4 million properties are at risk of surface water flooding in England.25 The increase in impermeable surfaces—such as driveways—is adding to the 15 Q 52 16 Q 53 17 Q 2; C&AG’s Report, …

Government response. The government acknowledges the increasing risks of surface water flooding by detailing its commitment in the Plan for Water to require standardised sustainable drainage systems (SuDS) and its ongoing support, training, and guidance for local authorities.
HM Treasury
16 Conclusion Seventh Report - Resilience to flooding Accepted

Environment Agency needs improved surface water modelling, with NaFRA2 enhancing flood risk assessment.

The Agency told us it needed better surface water modelling and mapping and described how its new national flood risk assessment model (NaFRA2), which it expects to be completed by the end of 2024, will help. It expects NaFRA2 will improve its understanding of surface water flood risk as well …

Government response. The government confirms the Environment Agency is working with Defra to develop a new National Flood Risk Assessment (NaFRA2), due for publication by the end of 2024, which will improve surface water modelling and mapping by establishing a new risk …
HM Treasury
17 Conclusion Seventh Report - Resilience to flooding Accepted

Many local authorities lack staff capabilities and funding for surface water flooding

The Agency is not the lead risk authority for surface water flooding: this falls under the remit of a number of bodies (such as the Highways Agency) with local authorities having lead responsibility.30 Local authorities’ core budget is not ring-fenced for flooding and we have previously raised concerns over the …

Government response. The government agrees and states the recommendation is implemented, highlighting commitments in the Plan for Water for SuDS, Defra's review of skills gaps, and the Agency's ongoing support to local authorities through training, webinars, and a new guidance platform. The …
HM Treasury
18 Recommendation Seventh Report - Resilience to flooding Accepted

Prioritise implementation of Schedule 3 to improve sustainable drainage systems for new construction

Under Schedule 3 to the Floods and Water Management Act 2010, any construction work that has drainage implications would need approval from the local authority that its drainage met national standards for sustainable drainage before it is connected to the public sewer. This schedule has never been implemented for England. …

Government response. The government accepts the recommendation, stating it has committed in the Plan for Water to requiring standardised sustainable drainage systems (SuDS) in new developments, subject to final decisions and consultation. It is also supporting local authorities with training and guidance …
HM Treasury
19 Conclusion Seventh Report - Resilience to flooding Accepted

Flood defence programme experienced slow start, leading to reduction in planned projects

When the six-year £5.2 billion capital programme to build new flood defence assets was launched in 2020, the government committed to provide better protection for 336,000 properties by 2027 by investing £5.2 billion in new flood defence projects.35 The programme got off to a slow start and the Agency did …

Government response. The government agrees and states the recommendation is implemented, with the Agency having already undertaken a detailed assessment that now forecasts 200,000 properties better protected by March 2027. The Agency is also preparing further improvements to approvals processes for smaller …
HM Treasury
20 Conclusion Seventh Report - Resilience to flooding Accepted

Flood defence programme forecast to protect 40% fewer properties than originally committed

The Agency’s current forecast is that these 1,500 projects will provide better protection to 200,000 properties by the end of the programme, a reduction of 40% on the original commitment of 336,000. Defra is yet to agree with HM Treasury the formal reset of the programme and there are factors …

Government response. The government agrees and states the recommendation is implemented, with the Agency having already undertaken a detailed assessment leading to a robust forecast of 200,000 properties better protected by March 2027. The Agency is also preparing further improvements to approvals …
HM Treasury
21 Conclusion Seventh Report - Resilience to flooding Accepted

Flood defence project prioritisation unfairly disadvantages rural communities, despite Defra's guidance

The level of investment in an area is determined by the level of flood risk and Defra scores its business cases against factors including number of homes, businesses and infrastructure protected.44 Defra published guidance for government on rural proofing in 2017 (updated in 2022) to help departments to ensure that …

Government response. The government agrees and commits that by summer 2025, the Agency will conduct an analysis of the geographical distribution of investment from the floods capital programme to understand the impact of investment decisions. The response also highlights existing measures, such …
HM Treasury
22 Conclusion Seventh Report - Resilience to flooding Accepted

Significant portion of flood defence projects depend on securing external partnership funding

Some 40% of projects need to find partnership funding to be able to go ahead.47 Partnership funding is an important source of funding, where risk management authorities (such as local authorities) raise funds from the public and private sectors towards a flood defence project. To support this capital programme, Defra …

Government response. The government agrees and states the department has completed an assessment of local flood and coastal risk and local authority spend, which will be published shortly. They report £347 million in partnership funding secured so far, including £128 million from …
HM Treasury
23 Recommendation Seventh Report - Resilience to flooding Accepted

Defra failed to identify areas struggling to secure local flood defence partnership funding

Some parts of the country may have lost out on funding from the programme because they were less able to secure partnership funding.49 In February 2021, we recommended Defra and the Agency should identify areas where there is likely to be a shortfall in local authority resources and private sector …

Government response. The government agrees and states the department has completed an assessment of local flood and coastal risk and local authority spend, which has been shared with the Committee and will be published shortly, directly addressing the recommendation to identify areas …
HM Treasury
25 Recommendation Seventh Report - Resilience to flooding Accepted

Unclear how many high-risk properties benefit from Flood Re insurance cover

Defra told us that Flood Re is working well: in 2022–23, Flood Re provided cover for 265,000 household property policies and more than 500,000 households have benefitted since it launched. Before Flood Re was introduced, 9% of policyholders with a prior flood claim could get quotes from two or more …

Government response. The government agrees with the committee's implicit recommendation and will write to the Committee by January 2025. This communication will follow Flood Re's Quinquennial Review in July 2024, which will make recommendations for the Secretary of State to consider.
HM Treasury

Correspondence

1 letter
DateDirectionTitle
10 Jan 2024 Joint correspondence from Tamara Finkelstein CB, Permanent Secretary, Departmen…