Watchdog Estimates Cost of Replacing Dangerous Cladding at Up to £22 Billion
The National Audit Office also reported that around 60 percent of medium-rise and high-rise buildings with flammable cladding have yet to be identified.
According to the spending watchdog, the cost of removing flammable cladding from multistory buildings in England could range from £12.6 billion to £22.4 billion.
The National Audit Office’s (NAO) report on the buildings remediation program highlighted slow progress in removing dangerous cladding and identifying other buildings in need of cladding removal. The works are unlikely to meet the government’s 2035 deadline.
The NAO raised concerns about the lack of mandatory registration for medium-rise buildings (between 11 and 18 meters) under the Building Safety Act 2022. This poses a risk that some buildings may never be identified, as only high-rise buildings are required to register.
Gareth Davies, head of the NAO, stated that despite progress since the Grenfell Tower fire, uncertainties remain regarding the number of buildings needing remediation, costs, timelines, and recouping public spending.
The initiative to identify and remove dangerous cladding was triggered by the Grenfell Tower fire in 2017, which claimed 72 lives due to the presence of non-compliant ACM cladding.
Up to 12,000 Buildings
As of August, estimates suggest that there are between 9,000 and 12,000 medium-and high-rise buildings with unsafe cladding. However, only 53 percent and 40 percent of these estimated totals have been identified within the MHCLG portfolio.
Approximately 12 percent and 16 percent of low and high estimations, respectively, have undergone remediation works.
While the MHCLG aims to complete remediation by 2035, the NAO indicated that the current progress falls short and significant challenges need to be addressed.
£5.1 Billion
The government has allocated £5.1 billion in grants for cladding removal, with additional support from the Building Safety Levy. However, challenges such as the levy’s expected commencement in Autumn 2025 and uncertainty about the total number of affected buildings must be managed to protect taxpayers.
The NAO recommended increased transparency on remediation performance and the publication of milestones for cladding removal completion.
‘Unacceptably Slow’
Building Safety Minister Alex Norris acknowledged the slow pace of remediation efforts and pledged an acceleration plan. The government remains committed to investing £5.1 billion for cladding removal.
Responding to the report, the End Our Cladding Scandal (EOCS) campaign group emphasized the need to prioritize the interests of ordinary people over business concerns to address the scandal effectively.
In September, the Grenfell Tower Inquiry released its final report, attributing the tragedy to decades of inaction by the government and the construction industry regarding flammable cladding dangers.
The report highlighted the government’s deregulatory agenda and awareness of the risks of combustible cladding materials, underscoring the need for better safeguards to prevent similar tragedies.
PA Media contributed to this report.
