Last Updated on 15/02/2022 by Nidhi Khandelwal
Secretary of State for Leveling Up Michael Gove today outlined tough new regulations that would require industry to pay to remove cladding and safeguard leaseholders from unreasonable charges (14 February 2022).
The government would be able to reject planning approval and building control sign-off on developments for those in industry who are not doing the right thing, effectively blocking them from building and selling new houses.
The ideas call for the industry to pay to correct historical issues, relieving hundreds of thousands of innocent leaseholders of an unfair financial burden while also implementing a common-sense approach to minimize unneeded labor.
The Department for Leveling Up, Housing and Communities is still in talks with industry leaders, who agree that leaseholders should not be responsible for cladding removal expenses. For those who are hesitant to commit, the Secretary of State has made it clear that he is ready to act.
Because of the magnitude of the problem, the government will be able to apply its new building safety charge to a wider range of developments, with the potential for harsher rates for those who refuse to cooperate in finding a solution.
The government hopes that it will not need to utilize these powers; instead, it wants responsible developers and manufacturers to operate freely and confidently in order to assist people get the homes they need. They will face business consequences if they do not act responsibly.
Along with additional legal protections for leaseholders, judges will be given new powers to allow developers to be sued if they establish shell companies to run specific developments in order to avoid taking responsibility for their conduct.