What is the cladding and building safety problem, and where does it stand?
A crisis affecting hundreds of thousands of flats, in which combustible external wall systems and other fire safety defects left buildings unsafe, unsellable and unmortgageable — and in which the central dispute has been who pays to put right defects the residents did not cause.
How it arose. The Grenfell Tower fire in 2017, in which 72 people died, exposed that combustible cladding and insulation had been widely used, that the regulatory and testing regime was inadequate, and that responsibility was diffused across developers, manufacturers, builders, inspectors and building control.
Why it affected so many buildings. Investigation extended well beyond the specific cladding type involved, to other combustible materials, missing cavity barriers, defective compartmentation and balcony construction. Buildings that had passed inspection were found to be non-compliant.
The consequences for leaseholders, which were severe:
Unsellable flats, because lenders would not lend without evidence of safety.
Enormous remediation bills passed through service charges, under leases making leaseholders liable for building costs.
Interim measures — waking watch patrols and alarm installation — costing very large sums.
Insurance premiums rising steeply.
The EWS1 form was introduced to give lenders the assurance they required. It was never a safety certificate, was not required for every building, and became a bottleneck, with too few qualified assessors and widespread confusion about which buildings needed one.
What has changed:
The Building Safety Act created a new regulatory regime for higher-risk buildings, with duty-holders, a building safety regulator, and a gateway regime during design and construction.
Leaseholder protections limit or remove liability for certain remediation costs for qualifying leaseholders, depending on building height, lease date and ownership circumstances.
Developer pledges and a levy committed funds to remediation.
Government funds for specific categories of building.
Where it remains difficult: pace of remediation, buildings and leaseholders falling outside the protections, non-cladding defects, insurance costs, and enforcement against parties that no longer exist.
General information, not legal advice.