Loans

Michael Gove axes cladding loans for flat owners in huge U-turn – but people are fuming

Michael Gove axes cladding loans for flat owners in huge U-turn - but people are fuming
Written by Publishing Team

Tenants will no longer need to pay a maximum of £50 per month to remove unsafe cladding they have not installed in their homes. But it does not include works other than clothing

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Gove announces the end of livery loans for tenants

Housing Secretary Michael Gove has canceled cladding loans for apartment owners in a huge turn for the Conservative Party but many victims are frustrated.

Tenants living in buildings between 11 and 18 metres will no longer need to pay the £50 a month proposed by the Conservatives last November.

The loan scheme – which would have lasted for decades – would have removed the unsafe cladding that tenants had not installed in their homes.

But the canceled loan scheme is not enough to protect people who need non-cladding work.

Mr. Goff could not say whether the tenants who had already paid for the loan scheme would get their money back.







Grenfell Tower, photographed the day Housing Secretary Michael Gove announced that developers, not tenants, would have to pay to remove unsafe cladding.
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picture:

James Vesey/Rex/Shutterstock)

Gove told the House of Commons: “We will scrap the proposal for long-term loans and debt to holders of medium-high rents.

“I can assure the home today that no tenant who lives in a building more than 11 meters tall will incur any costs to repair the hazardous cladding.”

Instead, Goff has asked developers to agree to start contributing this year to cover “the cost in full”, which he estimates at £4 billion.

Earlier today, the housing minister admitted there were other fire safety issues to consider but that removing the hazardous cladding should be the “first and most urgent issue”.

One of the victims, Charlotte Meehan, said three things were missing from Goff’s actions and accused him of taking a “half-baked” approach to tackling the fire safety crisis.







Housing Minister Michael Gove
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picture:

AFP via Getty Images)

Speaking to the BBC earlier today, she said: “She doesn’t even look at buildings that are less than 11m tall and we know there are tons of them in the UK.

“It doesn’t look at all the issues with fire safety…Two thirds of our bills come from fire safety issues outside the cladding, and it doesn’t even come close to temporary costs, as my development reported, and it’s close to the £500,000 bill.

“People simply can’t pay those costs, people go bankrupt and lose their homes based on temporary costs.”

Giles Grover, a member of the Manchester Cladators campaign group, told The Mirror: “It’s been three years now. We feel trapped, emotionally, physically and financially.

“The reality is we live in unsafe homes that we bought thinking they were safe and secure but were told there were deadly materials wrapped around and we would need to pay thousands to fix it.

“There was some funding announced but we’ve been here before. If the government had listened to us years ago, we could have ended this now.”

Goff’s plans come four years after the Grenfell Tower fire in June 2017, which killed 72 people.

Before his proposals on the livery were announced, Mr Gove announced a leak investigation after the Speaker of the House of Commons, Lindsay Hoyle, expressed his anger at the proposals leaked to the media before the House of Representatives.

Apologizing to MPs for the leak, Mr Gove told the House of Commons: “I can confirm that I have asked the Permanent Secretary of my Department to launch an investigation into the leak.

“It has been with great regret to me that the details of the statement I am about to make have been shared with the media before being shared with the members of this house and indeed the people most affected.”

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