Key Facts

• The Defective Premises Act 1972 extension to 15 years is unlikely to be effective for many leaseholders.
• Leaseholders could face an estimated £200 per annum cost due to the Bill.
• Additional costs for remediation and building safety management may reach up to £6,000.
• The ARMA organisation has advocated since shortly after Grenfell for prioritizing safety over determining funding sources.
• A proposed £12 billion levy scheme was suggested last year, aiming to provide upfront funding and then be repaid over five years by developers and material providers.
• Dr Glen supports a 'polluter pays' principle but acknowledges it is imperfect.
• The Building Safety Bill allows leaseholders to be charged for historical remediation costs within 28 days.
• Grants are necessary to cover non-cladding issues such as concrete damage due to age.
• Current law does not adequately protect leaseholders from developers who walk away from liability after two years.
• There are approximately 4.6 million-plus leaseholds that need addressing.
• Developers sometimes sell freehold blocks of flats they develop.
• In 60% of cases, there is a leaseholder structure in ARMA members' portfolios.
• Ground rent for a building with 100 units at £200 per unit amounts to £20,000 annually.
• The current legislation lacks a robust system for resident voice and accountability.
• Landlords can sit in conflict with leaseholders, affecting effective resident engagement.
• Proposals suggest formalising residents' groups to represent common interests.
• James Dalton is the director of general insurance policy at the Association of British Insurers.
• Steve Wood is the chief executive of the National House Building Council.
• Dr Sarah Colwell is the director of fire suppression testing and certification at BRE Global Ltd.
• Fire risks and insurance premiums are significantly affecting leaseholders post-Grenfell.
• The Building Safety Bill does not apply to buildings under 18 metres.
• Mandatory installation of sprinklers is advocated for new build buildings, especially care homes and schools.
• The professional indemnity insurance market has significantly hardened internationally, especially in construction and building sectors.
• Secondary legislation of the Bill will provide specific regulatory requirements for professionals involved in managing buildings.
• Extending liability periods from six to 15 years under the Defective Premises Act 1972 may leave gaps in insurer coverage.
• Philip Davies introduces Matt Wrack as the general secretary of the Fire Brigades Union.
• Rachel Hopkins asks questions about the impact of the Building Safety Bill and its establishment of a new regulator in the Health and Safety Executive.
• The speaker is Matt Wrack from the Fire Brigades Union.
• There has been a 40% reduction in fire safety inspecting teams over two decades.
• Grenfell Tower was cited as a major turning point for addressing building safety risks.
• The Bill proposes an 18-metre height cut-off which the speaker believes is incorrect.
• The duty holder’s power to choose a building control body should be reconsidered.
• Fire safety and building safety policy lacks broader structures that existed from 1947 to 2004.
• London Fire Brigade has cut around 25% of fire safety inspectors over the past 11 years.
• The accountable person role in the Bill creates significant operational challenges for local government bodies and fire services.
• Eric Leenders is the managing director responsible for personal finance at UK Finance.
• Eric's senior adviser in his team is a non-executive director on the New Homes Quality Board.
• The Bill aims to ensure adequate safety and protection for homeowners, giving voice to leaseholders.
• Alison Hills is a solicitor facing a potential bill between £150,000 to £200,000 due to building safety measures.
• Steve Day represents a cladding crisis case involving a £30 million bill for 118 flats.
• The Building Safety Bill is criticized for offering inadequate protection to leaseholders.
• Royal Artillery Quays residents face a £30 million cladding bill.
• There are internal firestopping issues costing £1.7 million.
• The developer claims no legal liability under the Defective Premises Act and Latent Damage Act due to the age of the building.
• Day advocates for parent company liability in construction defects cases.
• Legislation exists allowing CMA to hold parent companies liable for subsidiaries' anticompetitive conduct.
• The Government's programme has failed to recognise the impact on organisations.
• Leaseholders do not own the property and have no leg to stand on for pursuing legal action.
• There are problems under clause 124 that could result in extensive litigation.
• The Bill does not help when buildings are over 15 years old or if developers are insolvent.
• Aviva Investors tried to pursue £4.5 million but failed due to lack of a pleaded case for duty of care.
• Waking watch costs £400 per leaseholder and service charges increased by up to £200 a month each.
• Insurance has skyrocketed, with one block in Runcorn seeing a 1,400% increase.
• Service charges have doubled due to waking watch and insurance costs.
• The speaker is advocating for a 'full redress' scheme backed by experts and various organizations.
• Support for the scheme includes bishops, the Earl of Lytton, and the Intermediary Mortgage Lenders Association.
• £5.1 billion of public money is proposed for defective buildings.
• The scheme would be under Homes England with a de minimis limit set by legislation within six months after Royal Assent.
• There is discussion on using the Environmental Protection Act 1990 and apportionment process to avoid judicial review.
• The Building Safety Fund has limitations on which buildings and defects it covers.
• Leaseholders are facing potential bills of up to £200,000 due to contract disputes over the fund's terms.
• There is a concern that expanded polystyrene (EPS) cladding is as dangerous as ACM cladding for rapid vertical fire spread.
• The Committee will meet again on Thursday for line-by-line scrutiny of the Bill.
• Members are asked to leave promptly while observing social distancing.
• Zurich Insurance.
• Association of British Insurers (ABI).
• London Fire Brigade.
• Long Harbour Ltd and HomeGround Management Ltd.
• Steve Day, a campaigner on the Polluter Pays principle.
• The Institute of Residential Property Management Limited.