Newsflash: New online service & remediation & funding consultation

Under the Leaseholder and Resident Service, those living in tower blocks will have access to updates on the status of their building’s application to the government’s Building Safety Fund.

A new government service to hold building owners to account for remediation works has been launched today (20 January 2022).

What does this mean:

• New service will allow leaseholders to track Building Safety Fund applications
• Online updates will expose building owners who are failing to take action to fix their properties
• Measures are part of government action to protect leaseholders and force developers to make their buildings safe

Under the new Leaseholder and Resident Service, those living in tower blocks will have access to updates on the status of their building’s application to the government’s Building Safety Fund. This will help leaseholders to understand where their building is in the process.

The tailored service is designed to speed up the process of removing unsafe non-ACM cladding from the highest risk buildings, forcing building owners to be more transparent, and exposing those who have failed to take action to make their buildings safe.

This is just one of a number of steps announced by the Secretary of State for Levelling Up, Housing and Communities this month to protect leaseholders from unnecessary costs and delays.

Minister of State for Building Safety and Fire, Lord Greenhalgh said:

“It is unacceptable that four years after the Grenfell tragedy innocent leaseholders are still living in buildings with unsafe cladding.”

Building owners are responsible for making their building’s safe, and we will no longer allow them to shirk from their duties and hide behind processes and corporate loopholes.”

“Everyone – including leaseholders - has a right to know what is happening with their building and to live safely. Today’s launch is a key step in providing them with both the service and the peace of mind that they deserve.”

Under this new service, a unique code will enable leaseholders and residents to track the progress of their building’s application through an online service, with information updated monthly. This will enable leaseholders to keep track of their building’s application and help apply pressure on their building owners if action is needed.

Leaseholders will receive a unique code from their building owners and are encouraged to contact owners if they do not receive their code, or if they have any further queries on the status of their building’s application. Many residents will also receive their codes directly from government.

To maintain the pace of building remediation and ensure the Building Safety Fund is further targeted at the highest risk buildings, the Secretary of State is currently reviewing the wider programme ahead of the next phase of funding, expected early this year.

ARMA and IRPM’s Response:

It appears likely that the above service will lead to property managers and firms being contacted by leaseholders regarding the status of their building’s application to the government’s Building Safety Fund, or with requests for a unique code. We are awaiting further details and clarification from DLUHC regarding the distribution of the unique codes. Once we have received more information, we will share this with members.

DLUHC have also released guidance on the new portal.

All guidance for leaseholders:

• Building Safety Fund: A step by step guide for leaseholders and residents
• Building Safety Fund: Leaseholder and Resident Service glossary
• Access the portal

Building Safety: Remediation and Funding – Consultation and Inquiry Open

Yesterday (19th January 2022), the Levelling Up, Housing and Communities (LUHC) Committee launched an inquiry into ‘Building Safety: Remediation and Funding’.

This inquiry follows the Housing Secretary Michael Gove’s announcement which saw a ‘resetting’ of government policy regarding building safety, including the removal of the loan scheme for 11 metres to 18 metres buildings. Instead, Mr Gove introduced a backstop limited grant scheme for leaseholders, up to a maximum of £4bn. Developers are expected to contribute to this £4bn package before the limited grant backstop is used. Housebuilders are to be given two months to agree to a financial contribution scheme to fund the new plan, otherwise, if necessary, the government will impose a solution in law.

The inquiry looks to examine the effectiveness and impact of the government’s planned measures to make developers and industry cover the costs of cladding remediation and to scrutinise whether the Secretary of State’s approach goes far enough to fix the building safety crisis. Additionally, the inquiry will examine what the funding arrangement to be agreed with industry should look like.

Call for Evidence

As part of the inquiry, the LUHC Committee has opened a call for evidence. This call for evidence seeks respondents’ views on the following points:

• What is your assessment of the Government’s announcements on 10 January 2022 regarding building safety?
• Do the announcements go far enough, and what, if anything, is missing?
• What are the potential impacts of the announcements? In the case of negative impacts, how can they be addressed?
• How might the announcements affect the wider objectives of the Department for Levelling Up, Housing and Communities, including the building of affordable housing?
• What would you like to see in the funding arrangement to be agreed with industry?

The closing date for submissions is 16 February 2022.

To submit evidence, click here.

For further information contact [email protected].