Michael Gove accused of watering down post-Grenfell housing safety contract

Michael Gove has been accused of watering down housing safety steps despite tough talk on tackling rogue developers following the Grenfell tragedy.

The Housing Secretary pledged that firms who do not sign a government contract committing to safety measures “will have to find another line of work”.

He told MPs that any companies that do not sign the document within six weeks will be banned from future developments.

But his Labour counterpart, Lisa Nandy, questioned whether Mr Gove had rolled back on the level of liability firms face.

She hit out over lengthy delays millions have faced in getting dangerous cladding removed in the wake of the 2017 fire, which claimed 72 lives.

Ms Nandy told the Commons: “The Secretary of State has claimed he’s being tough on this before. It has been one year since he last made this demand on developers.

“The reality is that five-and-a-half years after the appalling Grenfell fire, millions of people are still trapped in buildings with dangerous cladding, in flats that are unsellable and facing eye-watering bills.”

The Government has published the contract it expects companies to sign by March 13 in order to be able to carry on constructing homes.

But according to Housing Today, homebuilders only agreed to sign it after the government made a string of concessions, including agreeing that work funded under the pledge should be limited to “life-critical building safety improvements”.

Ms Nandy referred to reports that two major housebuilders had agreed to sign the contracts “after he watered it down, to limit their liability, restrict the work that is covered and prevent the Government from revisiting the contract at a later date”.

She pointed out that Mr Gove had made a similar ultimatum a year ago, but said little had been done.

“Only 7% of flats at fire risk have been fixed,” she told MPs.. “This has been another year with lives on hold, huge anxiety, countless human misery and people are losing hope.”

The remarks came after Mr Gove vowed to force firms to sign up to a “responsible actors scheme” or face the consequences.

He said: “Anyone who fails to sign the contract will be prohibited from carrying out future development and from receiving building control sign-offs for buildings under construction.

“If you’re a developer, if you fail to sign this contract, you will have to find another line of work.”

He told MPs that the contract had been the result of extensive negotiations with housing companies.

Mr Gove admitted that there had been a “collective failure” to maintain minimum safety standards, with government regulations not always clear.

He said he is banning the “unacceptable practice” of managing agents, landlords and freeholders charging leaseholders commissions when they take out property insurance.