Cladding and Building Remediation

2. What plans he has to help leaseholders affected by potentially dangerous cladding with increases in insurance charges.

17. What recent progress he has made on cladding and non-cladding remediation for residential buildings.

The Government intend to enact reforms to improve the buildings insurance market by banning commissions, increasing the transparency of information and preventing unjustified legal costs when premiums are challenged. We are also pressing the insurance industry to launch its scheme. In 95% of all identified unsafe high-rise aluminium composite material buildings, and in 400 buildings supported by the building safety fund, remediation works have been either completed or started.

I have raised before in the House the predicament of residents of Barrier Point, in my constituency, whose insurance premiums have risen sixfold. The Secretary of State told me in January that such insurers were

“squarely in our gun sights”.—[Official Report, 30 January 2023; Vol. 727, c. 55.]

Can the Minister offer any prospect of imminent relief to my constituents, some of whom face a demand of an additional £6,000 this year?

I completely appreciate the point the right hon. Gentleman makes. That is why I have met with the Association of British Insurers multiple times in the last few weeks alone. I am hopeful that the scheme it hopes to bring forward with the insurance industry will come forward in the next few weeks. Later today, I am meeting the British Insurance Brokers’ Association again to talk about how it will reduce commissions, in advance of the work that the Secretary of State has already announced to ban such commissions.

In my constituency, there are two main housing developments where remediation work has been promised to fix unsafe cladding on buildings. I hope that the Minister is fully aware that living in unsafe buildings has meant individuals and families have had to put their lives on hold. Leaseholders cannot sell, move or staircase their homes, and some have had to put starting a family on hold. Will the Minister acknowledge that that is unacceptable? Will he agree to implement a timeframe so that work is prioritised by housing providers and building firms?

I am grateful to the hon. Lady for highlighting the challenges her constituents are facing. I appreciate the point that she is making about challenges. That is why we are trying to push forward with remediation as quickly as we are able to do so. Since the announcement by the big six lenders in December, taking effect in January, it should now be possible for more owners and leaseholders in properties like these to be able to buy, sell or remortgage. Early data received by the Department indicates that while the market will take some time to become more functional, it is moving in the right direction.

Will the Minister recognise that this is not just a question of ridiculously escalating premiums? There is also the problem experienced by my constituents in Northpoint in Bromley, which I have mentioned in the House before. The previous insurer, Aviva, which had insured the building up until the Grenfell fire, is refusing to quote at all. That withdrawal from the market is putting many people under real pressure. The cladding has already been removed from the building, the risk has gone and there is a zero claims record, but a major firm like Aviva will not even quote. There is a market failure here. Just as we did with the EWS1 fire safety certificates, when there was a withdrawal of professional negligence insurance, please can we intervene and make sure that people at least come into the market properly?

My hon. Friend makes an important point. That is exactly why we are trying to encourage and work with the ABI and the large insurers, to bring forward this new scheme that should help with the kind of issues that he has highlighted. I hope we will have more news on that in the coming weeks. If not, I would be very keen to talk to my hon. Friend and his local residents about how we can move forward.