Overview

This Fire Safety Bill amendment focuses on preventing building owners from passing on the costs of fire safety remediation work to leaseholders and tenants. The bill's progression through Parliament involved several proposed amendments and disagreements between the Commons and Lords, ultimately leading to a commitment to publish draft legislation addressing the issue within 90 days.

Description

Initial Amendments (Rejected):

The Lords initially proposed amendments to directly prohibit building owners from passing remediation costs to leaseholders and tenants (except for leaseholders who also own the freehold). The Commons rejected these, citing complexity.

Final Amendment (Agreed):

After several iterations, the final agreed amendment mandates that building owners cannot pass on remediation costs to leaseholders and tenants until a new statutory scheme is in place. This scheme will ensure that leaseholders and tenants do not bear the costs of remedial work. The Secretary of State must publish draft legislation for this scheme within 90 days of the Act's passage, along with a timetable, and provide an update after 120 days.

Government Spending

The bill does not directly allocate any new funds. However, the cost of the future statutory scheme to cover remediation costs for leaseholders and tenants will represent an additional government expenditure, the exact amount of which is yet to be determined.

Groups Affected

• Leaseholders: Potentially significantly impacted, as the amendment initially aimed to protect them from remediation costs. The ultimate impact depends on the speed and content of the future statutory scheme.
• Tenants: Similarly protected from remediation costs until a new scheme is in place, with their ultimate financial impact depending on the statutory scheme.
• Building Owners: Will be responsible for remediation costs until a new statutory scheme is implemented. This might cause financial burdens for some owners.
• Government: Will need to fund the future statutory scheme designed to reimburse leaseholders and tenants for remediation work related to the Fire Safety Act.

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