You are here: Home - Mortgages - Remortgage - News -

Leaseholders ‘will not bear costs of cladding removal’

0
Written by: Lana Clements
14/10/2020
Housing minister Christopher Pincher said leaseholders will be protected from the costs of removing cladding from high rise buildings.

The remediation of more than 50% of privately owned high-rise residential buildings with unsafe Aluminium Composite Material (ACM) cladding is being paid for by building owners and developers or through insurance, Pincher said in response to a written question from Rachael Maskell, MP for York Central.

The government is also providing £600m to “protect leaseholders in both the private and social sector from costs of removal of unsafe ACM, where other funding solutions cannot be found,” the minister added.

It comes after the government announced six months ago that it would provide funds to remove dangerous cladding from tower blocks, as 3.6 million people could face a decade wait to sell almost any modern flat because they cannot prove their walls are safe.

More than 2,700 applications have been received so far for the £1bn Building Safety Fund launched in July which will be used to remove unsafe non-aluminium composite material (non-ACM) cladding from buildings more than 18 meters high.

But by 25 September, just 138 decisions had been made by the Ministry of Housing, Communities and Local Government (MHCLG). Fewer than half of these have been accepted for funding by the department, with 73 being rejected and withdrawn.

Further, homeowners living in flats are finding it near impossible to remortgage where they cannot provide evidence of an external wall survey which confirms the building is free of combustible materials.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Coronavirus and your finances: what help can you get in the second lockdown?

News and updates on everything to do with coronavirus and your personal finances.

Everything you need to know about being furloughed

If you’ve been ‘furloughed’ by your company, here’s what it means…

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
PayPal to launch buy now pay later option and inactivity fee

PayPal customers will be able to pay in three interest-free instalments, but there’s also a new inactivity fee if you...

Close