Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, pursuant to the Answer of 10 March 2021 to Question 163654 on Housing: Insulation, if his Department will make an estimate of the potential number of leaseholders who may (a) lose their home and (b) declare bankruptcy as a result of the costs of resolving fire safety issues relating to (i) cladding removal, (ii) balcony remediation, (iii) replacing combustible insulation, (iv) replacing missing fire breaks, (v) increased insurance premiums and (vi) waking watches.
It is not possible to make such assessments. This is because the degree to which any fire safety issues require remedial action that impose costs on leaseholders, will depend on a professional fire risk assessment of individual buildings and the extent to which costs may be met by or recovered from developers, contractors or building warranties. In addition, we are unable to assess the potentially wide range of individual factors (such as job security, levels of mortgage commitment and personal circumstances) which could lead to people either losing their home or declaring bankruptcy due to additional costs.
However, we do recognise the financial pressures being placed on leaseholders through no fault of their own as a result of historic remediation costs. We have been clear that building owners and industry should make buildings safe without passing on costs to leaseholders – and where they have not stepped up, we have stepped in.
The Government is taking the following steps to ease these pressures: