G15 landlords hope for end to EWS ‘torment’ after Jenrick’s announcement as figures show 7,000 blocks still need assessment

Data from the G15 group of large London landlords, seen by Inside Housing, estimated that 6,893 buildings still require an EWS1 form, while 1,148 have obtained one. The G15 estimated that the majority – at least two-thirds – are shorter than 18 metres.

The figures also revealed that 1,227 mortgage transactions are ‘frozen’ due to the EWS1 crisis.

However this is down 37% from last September, as the G15 believes its members are becoming more aware of which buildings are impacted by the EWS1 issue and making residents aware before they start transactions.

Geeta Nanda, chair of the G15 and chief executive of Metropolitan Thames Valley Housing (MTVH), said: “We now need the lenders to adhere to the new guidance and to free as many people as possible from this torment.”

Speaking to Inside Housing, Kush Rawal, director of residential investment at 58,000-home MTVH, said if lenders follow the government’s advice, it would have a “substantial impact”.

He said: “We’ve got a lot of customers who, heartbreakingly, are impacted by this. They want to move forward with their lives and they’re stuck. It’s about how you bring some order to the chaos we currently have.”

“The government giving a clear steer to lenders and surveyors is definitely a welcome position.”

Mr Rawal warned, however, that it is now about the detail. “We need to make sure that clarity is there,” he said.

If the change is adopted, it could also help sharpen the focus on taller buildings, according to Mr Rawal. “It would really get people to focus their effort, energy and resources on getting those higher risk properties dealt with in a really expedient manner,” he said.

Ms Nanda added: “Ultimately, however, there will still be many buildings that do require remediation works and there is still a massive need for further funding.”

In a joint statement issued last week, UK Finance and the Building Societies Association said they welcome the government’s actions, but urged it to “continue to work with relevant stakeholders to ensure all documents, including the RICS guidance, align with the views of the expert panel”.

The statement added: “Once these changes are made, both borrowers and lenders should be in a clearer position and know what is expected of them.”

Lloyds Banking Group, which was name-checked by Mr Jenrick, said it looks forward to “working with RICS as they update their specialist guidance, which should provide the certainty everyone needs”.

The RICS said: “In light of this announcement from government, RICS will work with all stakeholders (fire safety bodies, lenders, insurers, valuers, leaseholders and others) to consider the impact on our guidance to valuers.

“If amendments are needed to RICS guidance, they would be developed through a consultative process and decided on by the independently led RICS standards and regulation board which is responsible for ensuring our regulation is undertaken in the public interest.”

But it added: “In the meantime, our existing guidance remains in place and RICS valuers should continue to fulfil their professional obligations to advise lenders and purchasers, accurately on a property’s market value.”