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£1BN Combustible Cladding Fund Announced in Budget
Leanne Gresswell • Mar 12, 2020
In yesterday’s Budget, the Chancellor announced a £1 Billion fund to remove and replace combustible cladding over the next 18 months.
The announcement came on March 11th 2020, not far short of three years after the tragic Grenfell Tower fire. The size of the fund itself indicates the scale of the problem; it’s worth noting that £600 million has already been made available by the government, for the remediation of the highest risk non-ACM cladding – the type that was in place on Grenfell Tower. This £1 billion will be provided in addition.
In case you’ve only got a quick five minutes to skim the details, here’s what you need to know:
- The total government investment to-date is now £1.6 billion.
- The funds will be made available over 18 months, to buildings in both the social and private residential sectors.
- They will apply to buildings of 18 meters and above, that have such cladding systems installed.
- In the private sector, the funds will be of benefit to the leaseholders.
- Building owners (usually freeholders) remain legally responsible for the safety of their properties and residents. Either directly or via their Managing Agent.
- Building owners who have already committed to fund the removal and replacement themselves, are expected to honour their commitment.
- Regulatory changes are still expected to be put in place.
- The total invested £1.6 billion will be the government's limit to supporting the non-ACM remediation.
- The fund does not absolve industry from responsibility for failures that led to the use of unsafe cladding materials on such buildings.
Or, if you've got a little longer, here are some further details...
The announcement follows a letter sent to the Chancellor earlier this year, by Residents groups and professional/trade bodies (including ARMA), calling for a multibillion-pound emergency fund to "unblock the process and ensure the safety of residents up and down the country for generations to come." This letter was sent after it was identified that half a million people could be living in buildings made unsafe by combustible cladding.
The "unsafe" combination that qualifies a building to use the funds, is being 18 more meters in height with an unsafe non-ACM cladding system in place. Such buildings have been deemed by experts to pose the greatest threat to public safety, and therefore must be remediated. By providing these funds, the government is making it clear that there is no excuse for building owners to not prioritise and ensure residents' safety.
That said, while £1 billion is no doubt a huge and welcome amount, there's already been concerns raised as to whether it will be enough. Which is unlikely. That's why building owners (particularly in the social sector) who have already committed to fund the remediation themselves, are expected to follow through on their commitments, leaving the funds available to those who cannot afford the cost.
Another condition of the funding, is that building owners must pursue claims against those responsible for installing unsafe cladding in the first place. Monies from such claims will be reimbursed to the government. In other words, no-one is off the hook. The government simply (and rightly) want to prioritise public safety. We can only hope that, alongside building owners who are able to fund remediations themselves, £1.6 billion will be enough.
The funds are being made available ahead of regulatory changes, giving building owners a chance to carry out their cladding replacements and ensure residents' safety. Phase 2 hearings will resume on Monday 16th March. In the meantime, you can find more information on the government website.
In the realm of leasehold properties in the UK, the discussion surrounding stay put policies and evacuation policies has gained prominence in recent years. These policies determine how residents should respond in emergency situations, such as fires or other hazards. While both approaches aim to ensure safety, they present distinct perspectives on how to address such incidents. This blog post explores the key features of stay put policies and evacuation policies, shedding light on the UK's approach to maintaining safety within leasehold properties. UK's Approach and Regulations The UK's approach to stay put policies and evacuation policies in leasehold properties is influenced by building regulations and the advice of fire safety experts. Following the Grenfell Tower fire, an Independent Review of Building Regulations and Fire Safety was conducted, leading to a series of reforms to enhance fire safety in high-rise residential buildings. These reforms emphasise the importance of comprehensive fire risk assessments, improved building materials, enhanced evacuation plans, and communication systems. Stay Put Policies Stay put policies have been traditionally followed in many leasehold properties in the UK since the 1960s. Under this approach, residents are advised to remain within their units during a fire or other emergencies, unless their unit is directly affected. The rationale behind stay put policies lies in the construction and design of buildings, which are built to contain fires and prevent their spread. The compartmentalisation and fire-resistant materials used in these buildings are expected to provide residents with sufficient protection, allowing them to safely stay in their units until the fire is contained. Evacuation Policies In recent years, there has been a shift in thinking regarding stay put policies, particularly in high-rise buildings. The tragic Grenfell Tower fire in 2017 highlighted the potential risks associated with such policies, leading to a re-evaluation of safety practices. Evacuation policies prioritise the swift and immediate evacuation of residents during emergencies, regardless of the level of fire containment. This approach aims to minimise the potential for casualties and ensure the safety of all occupants. The successful implementation of this approach requires alarm and detection systems that are capable of alerting all residents promptly and enabling a timely evacuation. Conclusion Balancing the need for resident safety and the unique characteristics of leasehold properties is a complex challenge. While stay put policies have traditionally been followed, recent tragedies have highlighted the need for a re-evaluation of these approaches. The UK's approach is evolving, with a greater emphasis on prioritising resident safety through comprehensive fire risk assessments, improved building regulations, and effective evacuation strategies. It is crucial to ensure that the chosen policies in leasehold properties effectively protect residents, providing them with peace of mind and a secure living environment. To find out your building’s fire safety policy, see the fire safety notices by the entrance or contact your managing agent.
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