Building Safety Bill

Ben Spencer Excerpts

Consideration of Lords amendments
Wednesday 20th April 2022 Commons Chamber

[Stuart Andrew]

The hon. Lady is absolutely right. Freeholders must ensure that their buildings are safe. We will have responsible people associated with each of those buildings to ensure that all the regulations are adhered to. The Building Safety Regulator will also ensure that buildings are safe. As ever, we want to learn as this process goes on, and I would be keen to continue to have dialogue with her as we progress with this.

[Dr Ben Spencer (Runnymede and Weybridge) (Con)]

My hon. Friend is being very kind with his time. On the point about the building cost thresholds, he will know that the London median house price is £515,000, but in Runnymede and Weybridge it is £475,000. In fact, house prices in my constituency are higher than or equal to those in 25 London constituencies. Many of my constituents will be adversely affected but will not get the same benefit as those in London, despite having equivalent or higher house prices. As he reviews the policy going forward, will he consider looking at house prices on a regional basis, as opposed to inside London versus outside London, which negatively affects constituents such as mine?

[Stuart Andrew]

I thank my hon. Friend for raising that important point. He will be aware that we are trying to avoid any leaseholders having any contributions to make at all. The first port of call will always be the people who developed the building in the first place. I hope to come on a bit later to the valuation of properties, which might address some of his points.

Importantly, we proposed that those leaseholder contributions be subject to a firm cap and that costs paid out in the past five years count against the caps. The Government originally proposed that leaseholders’ contributions be capped at £10,000, or £15,000 in Greater London, and we believe that creates a fair balance. It is the Government’s assessment that the vast majority of leaseholders would pay less than the caps, and many would pay nothing at all. None the less, the other place voted to reduce leaseholders’ capped contributions to zero. I am afraid the Government cannot accept the amendments.

We believe that in those circumstances, setting the cap on leaseholder contributions to zero is not a proportionate approach. Placing the entire burden on freeholders and landlords in circumstances where they are not at fault and are not wealthy will only increase the risk that remediation that is needed to ensure that residents are safe will not happen at all. We are therefore restoring the caps at £10,000 outside London and £15,000 in London, as originally proposed, and have made a small number of other technical improvements to those measures.