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Gove promises statutory protections to shield leaseholders from non-cladding costs
Amendments will be made to the Building Safety Bill to protect leaseholders from having to pay for non-cladding-related building safety work, the housing secretary has told MPs.
Announcing his new building safety plans in the House of Commons today, Michael Gove said his department intends to work with MPs “across the house” to bring forward “the most robust legal protection” for leaseholders.
It came as the housing secretary unveiled his plan to force developers to foot an estimated £4bn bill for the remediation of cladding on buildings between 11 and 18 metres tall.
Leaseholders impacted by the building safety scandal have long been calling for amendments to be made to the upcoming Building Safety Bill to ensure residents are protected from costs, but ministers have previously said that such an amendment would not be possible.
However, Mr Gove said in his speech today that the government would “pursue statutory protections for leaseholders”, adding that “nothing will be off the table”.
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When asked by shadow housing secretary Lisa Nandy whether he was abandoning leaseholders facing costs related to other safety defects such as missing fire breaks, Mr Gove said he agreed the non-cladding costs needed to be met.
“She specifically requested that we provide amendments to the Building Safety Bill in order to ensure that there was statutory protection for leaseholders. That is our intention.
“We intend to bring forward those amendments and I look forward to working with her colleagues across the house in order to provide the most robust legal protection,” he added.
Mr Gove reiterated his commitment in response to a question from Labour MP Clive Betts, during which he said he will “work with people across the house in order to make sure that that statutory protection extends for all of the work required in order to make buildings safe”.
The housing secretary also confirmed that the government would not reimburse leaseholders who have already been forced to pay for building safety defects.
In response to a question from Conservative MP Mike Penning, Mr Gove said the government is not in “a position to compensate those who have already contributed”.
“What we are seeking to do is ensure that individuals do not face costs in the future,” Mr Gove said.
Announced today, Mr Gove’s plan for solving the building safety crisis involves giving developers until March to agree a deal that will involve them making financial contributions to a dedicated fund to cover the full outstanding costs to remediate unsafe cladding on buildings between 11 and 18 metres tall.
It replaces the loan scheme for buildings of that size that was announced in February last year by Mr Gove’s predecessor, Robert Jenrick.
Mr Gove has threatened developers that fail to commit to the deal with further action, such as public contract bans, planning restrictions or pursuing them through the courts.
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