Building Safety

Peter Bottomley Excerpts
Monday 10th January 2022

(2 years, 3 months ago)

Commons Chamber
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Lindsay Hoyle Portrait Mr Speaker
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I call the Father of the House.

Peter Bottomley Portrait Sir Peter Bottomley (Worthing West) (Con)
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I will co-operate, Mr Speaker, and may I say, through you, to the Mother of the House, the right hon. and learned Member for Camberwell and Peckham (Ms Harman), that the tributes to her husband Jack Dromey for his work on people’s interests at work and at home will be long remembered, together with that of David Amess, who for 20 years worked on the all-party group on fire safety and rescue with Ronnie King and others?

I believe that this is another step forward that is greatly welcomed and greatly needed, but I think the extension of the liability to 30 years is wrong for those who knew that what they were doing was wrong: 30 years may be fine for those who did it by mistake, but for those who knew what they were doing, there should be unlimited liability both in time and in money.

I hope that the Secretary of State will have a roundtable. If he wants to take over the all-party group roundtable for a summit on this, he can pick up some of the other issues that no doubt he has been working on, but which, to keep his statement reasonable, he may not have covered today.

One problem is the insurance premiums paid by leaseholders for a property they do not own, which may have gone up from an illustrative £300 a year to £3,000 a year. I believe that the Association of British Insurers should be told that the Competition and Markets Authority will look to see whether there is price gouging, in simple terms, and, that if there is some kind of catastrophic reinsurance needed, the Government should help them to make communal arrangements to deal with that, because insurance premiums should come down to the £300 they were before.

The last point of very many I would like to make is that the Treasury will expect to get the benefit of the levy and tax towards the £5 billion already announced, and the contributions that will come in from developers will relieve burdens on residential leaseholders, but the Government should also get the VAT on money that is spent, which is 20% of the total cost. If the total cost comes down from £15 billion to, say, £12 billion, my right hon. Friend can calculate and discuss with the Treasury how much extra the Treasury is getting. The Treasury should not be making a profit out of all this catastrophe.

Michael Gove Portrait Michael Gove
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I thank the Father of the House for his questions. He is quite right that Sir David Amess, before his sad death, was one of the most prescient and most effective campaigners for improved building safety. His memory is very much in my mind.

The Father of the House makes a point about the need to potentially look at unlimited liability for those who consciously and deliberately operated in a reckless fashion. I will consider that and I am sure it will be considered during the passage of the Bill. On his point that we should work with others, particularly the broad leasehold community who have done so much to identify the way forward, we absolutely intend to do that. The point he makes about insurance premiums is absolutely right. That is why my noble Friend Lord Greenhalgh will be talking to Baroness Morgan of Cotes and others in the Association of British Insurers to ensure that more insurers, like Aviva, do the right thing. I very much note his point about VAT and Treasury contributions. In the ongoing conversations we have with the Chancellor of the Exchequer, I will reflect on the very important point that he made.