Question to the Department for Levelling Up, Housing & Communities:

To ask Her Majesty's Government what assessment they have made of the impact that the updated guidance on external wall fire review processes (the EWS1 form) will have on the ability of leaseholders to sell their leases.

The Royal Institution of Charted Surveyors (RICS) guidance on the proportionate use of the EWS1 process is a step forward in terms of clarity for consumers and a consistent, more proportionate approach to valuation assessments. This ensures that EWS1 assessments are only requested when absolutely necessary. RICS are currently monitoring the impact of the updated guidance.

MHCLG estimates that if lenders which use the EWS1 process follow the RICS guidance, nearly 500,000 flat owners will not need to ask their building owner to commission an EWS1 form.

So far, most major lenders, representing roughly 80% of the mortgage market, have said that they will adopt the RICS guidance or already take a markedly less risk-averse approach.

Recent data from one major lender suggests that an EWS1 already exists for 50% of mortgage applications where one is requested, and we are working with industry to ensure this picture only improves.