Building Safety (Remediation of Unsafe Cladding etc) Bill Debate

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Department: Ministry of Housing, Communities and Local Government
Joe Powell Portrait Joe Powell
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My experience from this case corroborates what my hon. Friend says. I met the Association of British Insurers, and the scheme it introduced subsequently kicked in and has in the last year brought down the buildings insurance, but only by about half—certainly not to anywhere near what it used to be. I hope that Ministers can look at insurance when thinking about protecting leaseholders from higher costs.

The end of the story for the building is that, following pressure from me and my team and from organisers in the building, Notting Hill Genesis has finally agreed to reimburse all the residents. It will repay the difference in the increase for the past several years. I thank Thomas, Hamid, Ian and all the other residents in that building for their work. That is just one example of what is happening in building after building across the country.

I welcome the Bill in the sense that it is an opportunity to fix some of the flaws left by the previous Government and to create a better system, including through the register, a consistent approach to external walls in fire risk assessments, and by listening to campaigners across the country, such as End Our Cladding Scandal, who have helped to give a voice to those most affected. I know that they will have the ear of the Secretary of State and Ministers as the Bill continues its passage.

Clearly, one element at the heart of the Bill is who should pay. I agree that it is high time that the construction product manufacturers who contributed to the cause of this crisis should pay towards resolving it. I really welcome part 5 of the Bill, which strengthens and extends provisions in the Building Safety Act on retrospective liability for cladding products, and the Secretary of State’s announcement today on the Government’s intention to go further. The Grenfell inquiry found that companies including Arconic, Kingspan and Celotex engaged in systematic dishonesty and deliberate manipulation of testing that misled buyers into thinking their products were safe. It is extraordinary that, aside from their payments into a civil settlement, these companies have not paid towards resolving a crisis of their making. In Arconic’s case, its civil settlement was overwhelmingly covered by its insurance and was dwarfed by the payment it made to its own shareholders in compensation.

It is clearly not right that leaseholders, taxpayers and even the developer levy should shoulder the bulk of the costs, while companies such as Arconic do not. That is yet another reason that they should be nowhere near public contracts and supply chains, especially while criminal investigations are ongoing. I know the Secretary of State is committed to working across Government to use every procurement power the Government have to ensure that that is not happening, and I will fully support her in that goal. I also look forward to the new system of construction products regulation being implemented, with consistent safety standards and a single products regulator under the Building Safety Regulator; that will make a big difference.

I am glad that protection from costs for leaseholders has been discussed in the Bill and the debate so far. They are not responsible for this crisis, yet they are the ones picking up the bill in far too many cases. I hope these new powers will give local remediation efforts such as the London Joint Remediation Partnership Board an extra tool to do the building-by-building analysis that cuts through the bureaucracy and delays to find a solution.

I am sure that the communities who have enfranchised their buildings or exercised right to manage will be really pleased to hear the announcement today on ensuring that they are protected. We want more leaseholders to take control of their buildings, appoint their own agents and run their own affairs. We will see more in the leasehold Bill soon, and it is right that the Building Safety (Remediation of Unsafe Cladding etc) Bill should provide some consistency in protecting them, too.

The building safety crisis has become one of the defining symbols of state failure in the past decade. The entirely avoidable tragedy of Grenfell and the loss of 72 lives should have been a catalyst to making buildings safe as quickly as possible and recovering the costs later. Of course, if we had listened to the coroner after the Lakanal House fire in 2009, not only may it have been possible to prevent the Grenfell fire, but we could have put a halt to new build flats across the country being constructed with cladding that was putting lives at risk. Judge Frances Kirkham said then that approved document B of the building regulations concerning external fire spread, fire-resisting properties and cladding panels should be reviewed. That simply did not happen in the way it should have done, as the public inquiry found.

That missed opportunity is devastating for the Grenfell families but it is also devastating for everyone who bought a flat across the country in a building that could have been built or refurbished differently if that recommendation had been implemented. Think of the billions of pounds wasted that could have been invested in building more homes, including social and affordable homes. That is why I will continue to campaign for a national oversight mechanism to ensure that there is independent scrutiny of recommendations of inquests and inquiries, so that change actually happens. I am delighted that the Prime Minister, the Secretary of State and the Minister are supportive of that effort, and I hope we can now make rapid progress towards setting it up.

The Prime Minister said something at the homelessness summit on Monday that really resonated with me: “names not numbers”. He was talking about how to best support people off the streets. We need a similar approach to this crisis. Behind every statistic is a family who are stuck, who cannot sell their home, who are worried about the value of their main asset and who have had to take on another job of chasing for answers about when the work will be finished, all while they suffer the anxiety of living in an unsafe building.

I hope today marks a shift in approach under a Government who I know are absolutely committed to doing all they can to end this scandal once and for all. The new tools in this Bill will certainly help, and the ones announced at the Dispatch Box today will help even further. With the Prime Minister, the Secretary of State and the ministerial team providing the leadership that this crisis needs, I am sure we can right the wrongs of the previous approach and deliver the solutions that so many people across the country are crying out for.

Nusrat Ghani Portrait Madam Deputy Speaker (Ms Nusrat Ghani)
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I call the Liberal Democrat spokesperson.