The new funding for under 11 metre buildings will be part of the existing Cladding Safety Scheme, with support prioritised for those facing the greatest risk.
Serious cladding problems are less common in lower-rise buildings, and they are not covered by existing leaseholder protections. As a result, leaseholders can be left facing large bills to fix safety issues they did not cause.
The new funding will help protect leaseholders from these costs and ensure the most unsafe buildings can be made safe.
It is part of a wider change to how buildings are prioritised for remediation. Instead of focusing mainly on building height, the government will prioritise buildings based on the risk they pose to residents, ensuring those with the most serious safety concerns are addressed first.
Today’s announcement delivers on commitments set out in the Remediation Acceleration Plan and builds on work to address the failings set out in the Grenfell Inquiry. The upcoming Remediation Bill will go even further to ensure landlords deliver on their responsibility to fix unsafe buildings.
Building Safety Minister, Samantha Dixon said
Residents shouldn’t be left worrying about living in homes with dangerous, flammable cladding, just because their building isn’t tall enough to qualify for funding.
That’s why we’re taking action so that buildings posing the greatest risk to life are prioritised, as well as streamlining processes to minimise delays and make responsibilities clear.
To further support leaseholders, the government has welcomed a new review by the Financial Conduct Authority (FCA) into how insurance premiums for buildings with fire safety risks have changed since the FCA brought in new rules in 2023.
The review will look at how insurers’ pricing approaches have changed over time, how firms are considering leaseholders’ interests when assessing whether their products deliver fair value, and how building remediation work is being taken into account in insurers’ risk assessments.
Rachel Blake, Economic Secretary to the Treasury, said
Too many leaseholders have spent years facing uncertainty and have been unable to move on with their lives because of building safety issues they did not cause.
As we work to make buildings safer, leaseholders deserve confidence that they are paying a fair price for insurance. The FCA’s review will help us better understand how insurers are pricing and whether leaseholders are getting fair value.
It supports wider efforts to make sure building safety issues are fixed quickly and fairly, without leaving leaseholders facing unreasonable costs.
Following discussions with industry and resident groups, the government has also confirmed a range of changes to improve building safety regulation while reducing unnecessary delays. The changes include
- Setting out the government’s plans for a new Single Construction Regulator, which will bring together different parts of the building regulation system and make it easier to navigate.
- Making it simpler for the Building Safety Regulator to issue Building Assessment Certificates and providing clearer guidance for building owners.
- Launching a new consultation to make it easier for emergency works to take place, and publishing two consultation responses on telecommunications work and ensuring existing buildings can move through the regulatory process more swiftly, while maintaining safety standards.
Together, these changes will help keep residents safe while reducing unnecessary bureaucracy that can slow down essential building safety work.
Kate Henderson, Chief Executive of the National Housing Federation, said
We welcome the government’s decision to prioritise building safety remediation according to risk and to extend funding to lower-rise buildings with the most serious safety concerns. This is an approach the sector has long called for, as height alone is not a reliable measure of risk, and will ensure capacity is directed to where it’s needed most.
Housing associations continue to work hard to make all their buildings safe. The social housing sector is leading the way on remediation, but the scale and complexity of the challenge mean government support remains essential.
This announcement is an important step towards accelerating remediation and ensuring residents in buildings of all heights feel safe in their homes. We will continue to work closely with the government to ensure all buildings with serious external wall safety risks are remediated as quickly as possible.
