It was only two weeks ago that we wrote about Flood Re moving one step closer to becoming law, when its ‘secondary legislation’ was laid before Parliament. But it seems there are still some problems ahead.
A coalition of interested parties has now written to the government asking them to delay laying down the final regulations of the scheme, which is designed to provide affordable flood insurance. Their fear is that some homeowners will be facing ‘rocketing insurance premiums’, according to Post magazine.
Flood Re is meant to protect homeowners from high premiums, but in its current form it will not cover all private rented sector properties and some leasehold properties. This group, which includes the British Property Federation, Residential Landlords Association, Leasehold Knowledge Partnership and Association of Residential Managing Agents, has asked the government to withdraw the regulations until research is finished on how these excluded groups will be affected.
Of course, nothing much will happen in the next few weeks as we approach the election, but it’s still possible that the whole scheme will come crashing down before its current go-live date of July.