Government sets deadline for developers to agree to fix unsafe buildings

Developers have six weeks to sign a remediation contract committing them to repair unsafe buildings or risk being blocked from carrying out developments in the future, the Government has announced.

The Government has said that those who do not sign the contract will be penalised via legislation set to be brought forward in the spring giving the Secretary of State for Levelling Up, Housing and Communities powers to prevent developers from operating freely in the housing market.

The contract applies to hundreds of buildings across England that are over 11 metres tall, and it is estimated that it will see developers commit £2 billion or more for repairs to buildings they developed or refurbished over the past 30 years.

Secretary of State for Levelling Up, Housing and Communities, Michael Gove, said: "Too many developers, along with product manufacturers and freeholders, have profited from these unsafe buildings and have a moral duty to do the right thing and pay for their repair.

"In signing this contract, developers will be taking a big step towards restoring confidence in the sector and providing much needed certainty to all concerned.

He added: "There will be nowhere to hide for those who fail to step up to their responsibilities - I will not hesitate to act and they will face significant consequences."

The deadline for signing the contract is 12 March 2023.

The Government plans to introduce a Responsible Actors Scheme (RAS), pursuant to the Building Safety Act 2022.

Under the RAS, the Secretary of State will be able to block developers who have not signed the contract or failed to comply with its terms from carrying out development and from receiving building control approval.

Developers are also set to be subject to a 'Building Safety Levy', which will be charged on new residential buildings requiring building control approval. These plans will raise an estimated £3bn over ten years.

Adam Carey