A total of 39 developers, including the top 10 UK housebuilders, have signed a remediation contract, committing to fix unsafe buildings they developed or refurbished.
Secretary of State for Levelling Up, Housing and Communities Michael Gove introduced the legally binding document in order to address the housing safety crisis, initially brought to light following the Grenfell Tower fire.
The signed agreements represent at least £2bn in remediation costs, across a substantial portion of the housing market.
With obligations starting immediately, developers will be legally bound to pay to life-critical, fire safety defects in all English buildings over 11 metres that they had a hand in either developing or refurbishing.
They are also required to reimburse the taxpayer, where Government funds have already paid for remediation, with the money being used to make other buildings safe.
Leaseholders will benefits from a common framework of rights and responsibilities that will ensure buildings are fixed without their having to pay.
Developers will be required to inform residents in affected buildings as to how they will be meeting their commitments.
Eligible developers who failed to sign before yesterday’s deadline will not be allowed to operate freely in the housing market.
These developers will be prohibited from carrying out major developments or receiving building control approval, and the regulator will establish a Responsible Actors Scheme, which these developers will not be able to join.
Some of the developers who signed up to fix unsafe buildings included Barratt Developments, Morgan Sindall Group, Persimmon, Redrow, and Taylor Wimpey.
The Government also published a list of those developers that did not meet the signing deadline, including Galliard Homes, Lendlease, and Telford Homes.
Several developers signed, and were subsequently found not to have any buildings needing attention: Davidsons, MacTaggart & Mickel, Robertson, and Wain Homes.
Gove said: “I have been clear all along – those that are responsible for this crisis must pay.
“So, I am grateful to those developers who have done the right thing today by signing this legally binding contract.
“We will be monitoring their progress on remediation very closely, to ensure this work is completed urgently and safely.
“For those developers that have taken responsibility, today offers the chance for a reset, so we can get on and build more of the safe, decent and affordable homes we so desperately need.
“To those developers that have failed to sign the contract without good reason, let me be very clear – we are coming after you. If you do not sign, you will not be able to operate freely in the housing market.
“Your investors will see that your business model is broken – only responsible developers are welcome here.
“But today should not be about developers, or about government. Today is about innocent leaseholders.
“I want to put on record my apology to all leaseholders for the years of misery and hardship you have endured. You should never have been ignored, asked to pay and let down.
“Today marks a turning point – and an important step towards resolving this crisis.
“There is so much more to do, but I will always act to protect leaseholders and end this injustice.”
