The new building safety regime

The Act includes requirements in relation to the information that must be provided to owners of long leases (flat owners) in higher risk buildings.

WHAT IS A HIGHER RISK BUILDING?

A higher risk building is one which:

• Is in England;
• Is at least 18 metres or 7 storeys high; and
• Contains at least 2 residential units.

WHAT INFORMATION NEEDS TO BE PROVIDED?

• A statement that the building consists of or includes a dwelling in a higher risk building;
• The name, email address and telephone number of the principal accountable person, any special measures manager and the Building Safety Regulator;
• A postal address in England and Wales for service of notices on the principal accountable person (see below); and
• A postal address for the Building Safety Regulator.

WHEN MUST THIS INFORMATION BE GIVEN?

• The required information can be given at any time and can even be given to a prospective flat owner before a new lease is entered into.
• Until the required information is given to the flat owners any rent, service charges or administration charges will not be treated as due.
• The information must also be given to the flat owners with all written demands for rent and all other amounts payable under the flat leases.

ADDITIONAL OBLIGATIONS ON LANDLORDS

• Where the landlord is the accountable person (see below) it must comply with its building safety duties or co-operate with the relevant person where it is not; and
• The landlord must also comply with any special measures order in force.

ARE ALL COSTS ASSOCIATED WITH THIS LIKELY TO BE RECOVERABLE?

The Act specifies a long list of potentially recoverable costs and the circumstances in which they can be recovered. Similarly, the Act stipulates a list of costs which are specifically excluded from recovery.

A further mechanism restricts cost recovery in certain circumstances including: 

• For defects such as unsafe cladding; 
• For works to remedy non-cladding defects; 
• Where the amount of the costs or the landlord’s net worth exceed certain values; or
• Where the value of the lease is below a certain limit.

It is not possible to contract out of the new implied service charge regime.

WHO IS THE ACCOUNTABLE PERSON?

The accountable person is the person responsible for building safety risks when a building is occupied. Individuals, partnerships or corporate bodies may be accountable persons.  There may be several, but only one will be the “Principal Accountable Person”. 

If an accountable person fails to comply with the duties imposed on them under the Act, they will be at risk of prosecution by the Building Safety Regulator.

The new building safety regime is extremely complex; please contact us if you would like to discuss your building safety queries.

Lucy Riley, Legal Director and Kristina Biddlecombe, Senior Licensed Conveyancer at Nockolds Solicitors