• Menu
  • Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Before Header

  • Home
  • What is LKP
  • Find everything …
  • Contact
Donate

Leasehold Knowledge Management Logo

Secretariat of the All Party Parliamentary Group on leasehold reform

Mobile Menu

  • Home
  • What is LKP
  • Find everything …
  • Contact
  • Advice
  • News
    • Find everything …
    • About Peverel group
    • APPG
    • ARMA
    • Bellway
    • Benjamin Mire
    • Brixton Hill Court
    • Canary Riverside
    • Charter Quay
    • Chelsea Bridge Wharf
    • Cladding scandal
    • Competition and Markets Authority / OFT
    • Commonhold
    • Communities Select Committee
    • Conveyancing Association
    • Countrywide
    • MHCLG
    • E&J Capital Partners
    • Exit fees
    • FirstPort
    • Fleecehold
    • Forfeiture
    • FPRA
    • Gleeson Homes
    • Ground rent scandal
    • Hanover
    • House managers flat
    • House of Lords
    • Housing associations
    • Informal lease extension
    • Insurance
    • IRPM
    • JB Leitch
    • Jim Fitzpatrick MP
    • John Christodoulou
    • Justin Bates
    • Justin Madders MP
    • Law Commission
    • LEASE
    • Liam Spender
    • Local authority leasehold
    • London Assembly
    • Louie Burns
    • Martin Paine
    • McCarthy and Stone
    • Moskovitz / Gurvits
    • Mulberry Mews
    • National Leasehold Campaign
    • Oakland Court
    • Park Homes
    • Parliament
    • Persimmon
    • Peverel
    • Philip Rainey QC
    • Plantation Wharf
    • Press
    • Property tribunal
    • Prostitutes
    • Quadrangle House
    • Redrow
    • Retirement
    • Richard Davidoff
    • RICS
    • Right To Manage Federation
    • Roger Southam
    • Rooftop development
    • RTM
    • Sean Powell
    • SFO
    • Shared ownership
    • Sinclair Gardens Investments
    • Sir Ed Davey
    • Sir Peter Bottomley
    • St George’s Wharf
    • Subletting
    • Taylor Wimpey
    • Tchenguiz
    • Warwick Estates
    • West India Quay
    • William Waldorf Astor
    • Windrush Court
  • Parliament
  • Accreditation
  • [Custom]
Menu
  • Advice
  • News
      • Find everything …
      • About Peverel group
      • APPG
      • ARMA
      • Bellway
      • Benjamin Mire
      • Brixton Hill Court
      • Canary Riverside
      • Charter Quay
      • Chelsea Bridge Wharf
      • Cladding scandal
      • Competition and Markets Authority / OFT
      • Commonhold
      • Communities Select Committee
      • Conveyancing Association
      • Countrywide
      • MHCLG
      • E&J Capital Partners
      • Exit fees
      • FirstPort
      • Fleecehold
      • Forfeiture
      • FPRA
      • Gleeson Homes
      • Ground rent scandal
      • Hanover
      • House managers flat
      • House of Lords
      • Housing associations
      • Informal lease extension
      • Insurance
      • IRPM
      • JB Leitch
      • Jim Fitzpatrick MP
      • John Christodoulou
      • Justin Bates
      • Justin Madders MP
      • Law Commission
      • LEASE
      • Liam Spender
      • Local authority leasehold
      • London Assembly
      • Louie Burns
      • Martin Paine
      • McCarthy and Stone
      • Moskovitz / Gurvits
      • Mulberry Mews
      • National Leasehold Campaign
      • Oakland Court
      • Park Homes
      • Parliament
      • Persimmon
      • Peverel
      • Philip Rainey QC
      • Plantation Wharf
      • Press
      • Property tribunal
      • Prostitutes
      • Quadrangle House
      • Redrow
      • Retirement
      • Richard Davidoff
      • RICS
      • Right To Manage Federation
      • Roger Southam
      • Rooftop development
      • RTM
      • Sean Powell
      • SFO
      • Shared ownership
      • Sinclair Gardens Investments
      • Sir Ed Davey
      • Sir Peter Bottomley
      • St George’s Wharf
      • Subletting
      • Taylor Wimpey
      • Tchenguiz
      • Warwick Estates
      • West India Quay
      • William Waldorf Astor
      • Windrush Court
  • Parliament
  • Accreditation
You are here: Home / News / Cladding scandal / NHBC accepts Grenfell cladding bill at Galliard’s New Capital Quay

NHBC accepts Grenfell cladding bill at Galliard’s New Capital Quay

July 9, 2018 //  by Sebastian O'Kelly

With 980 flats, New Capital Quay is the largest site to have massive bills to remove Grenfell cladding. Galliard Homes, which built the site only four years ago, owns the freehold and manages the complex. Its dispute with warranty provider NHBC is now resolved, as the claim has been accepted. The dispute was a rare public falling out amid housebuilders and the warranty provider, which raised questions about both

UPDATE JULY 11: The Times reports that the NHBC caved in days after 220 leaseholders began legal proceedings to force the controversial warranty insurer to pay out.

Leaseholder Nigel Pickford, 71, who spoke at our APPG in April and who lives in a £1 million apartment on the top floor of one of the blocks, said: “This is a good first step but there is still a lot of unanswered questions about what works will be carried out. There is also a big question of who is going to make sure the work is done properly this time. Are we going to rely on NHBC as they did the building control on this last time and they don’t seem to have done a good job.”

Matthew Pennycook, Labour MP for Greenwich and Woolwich, said it was “fantastic news” but said questions about how the cladding system was approved in the first place still needed to be answered.

Sebastian O’kelly, of LKP, is quoted saying: “Acceptance of the claim by NHBC is an unanswerable precedent. You cannot build with faults and then dump the cost of rectifying them on to your customers assuming regulators have no responsibility in the issue.”

This may be noted by Australian builder Lendlease at its Manchester sites Cypress Place and Vallea Court.

He added: “Both Galliard and NHBC have waited until the last moment, hoping to dump this cost on the leaseholders. They have shown the cloven hoof of residential property insiders to ministers, MPs, civil servants and the wider public. And we don’t like what we see.”

Insurer to foot £40m bill for Grenfell-style cladding

Owners of flats covered in Grenfell-style cladding could be spared hefty costs to make their homes safe after an insurer agreed to cover a multimillion-pound repair bill. Tenants and leaseholders in the New Capital Quay complex in Greenwich, east London, have been told the cost of replacing the fl

The Guardian’s Lisa O’Carroll report is here:

Grenfell-type cladding on London flats to be replaced at insurer’s cost

Residents in London apartment blocks who faced bills of up to £40,000 each for Grenfell-type cladding to be removed have spoken of their relief after their insurer stepped in to foot the bill.


The warranty provider NHBC has accepted the claim to remove Grenfell cladding at New Capital Quay in a press statement this afternoon.

The brief statement lacks detail, and we have asked whether this claim will cover the entire cost of removing the cladding and replacing it.

In addition, we have asked whether the bill for the fire marshals at the 1,000 flat site will also be paid for by the insurer.

The break-through ends years of uncertainty for leaseholders at the site as NHBC and Galliard disputed liability, with every possibility that the bill would fall on them.

The decision also increases pressure on developers such as Lendlease to pay up to remove cladding on sites where the freehold has been sold on to speculators in ground rents.

The full NHBC statement is here:

“As the warranty insurance provider at New Capital Quay, NHBC has investigated a claim under our policy and we can confirm that we have accepted this claim.

“This has been a highly complex process and residents have understandably been concerned. We have made every effort to ensure they have been kept informed throughout the process and residents can now be assured that they will not have to bear the costs of the work.

“We are working closely with the managing agents PMML (Property Management Matters Ltd.) and Galliard Homes and we will all keep residents updated with progress.”

LKP asked: How does it affect the waking watch bill?

NHBC: Liability for the cost of fire wardens (the so called waking watch) is a matter for the freeholder and the leaseholders under their leases but NHBC is discussing this matter with the freeholder. To date we understand this cost has been paid by the freeholder.

Does it cover the total cost to remove the cladding?

A: The freeholders and managing agents are responsible for carrying out the works which will be subject to oversight by independent building control by the local authority or an Approved Inspector. This will include the replacement of the ACM cladding.

NHBC is the leading warranty and insurance provider for new homes in the UK. NHBC’s ten-year Buildmark warranty covers around 80 per cent of new homes built in the UK, having covered nearly eight million homes since it began and currently protecting around 1.5 million homes. NHBC is a non-profit distributing organisation with no shareholders.

Related posts:

New Capital Quay cladding may cost £7-10m, while NHBC sends in experts – and libel warning to BBC Leaseholders face £19m to £40m Grenfell cladding bills at Galliard Homes’ New Capital Quay Taxpayers face £85,000 loss as Homes England accepts leaseholder can pay back loan on flat blighted by Grenfell cladding Robert Jenrick claddingJenrick breaks cover … to visit Galliard’s New Capital Quay cladding site that was bound to be sorted out New Capital Quay leaseholders to sue Galliard over Grenfell cladding

Category: Cladding scandal, Latest News, NewsTag: Galliard, New Capital Quay, NHBC, Waking watch contracts

Latest Tweets

Tweets by @LKPleasehold

Mentions

Anthony Essien (34) APPG (37) ARMA (87) Bellway (30) Benjamin Mire (32) Cladding scandal (71) Clive Betts MP (31) CMA (45) Commonhold (52) Competition and Markets Authority (41) Countryside Properties plc (33) FirstPort (42) Grenfell cladding (56) Ground rents (54) Harry Scoffin (150) James Brokenshire MP (31) Jim Fitzpatrick (35) Jim Fitzpatrick MP (30) Justin Bates (40) Justin Madders MP (67) Katie Kendrick (37) Law Commission (60) LEASE (66) Leasehold Advisory Service (62) Leasehold houses (32) Long Harbour (48) Martin Boyd (80) McCarthy and Stone (39) National Leasehold Campaign (38) Persimmon (49) Peverel (61) Property tribunal (49) Redrow (30) Retirement (37) Robert Jenrick (33) Roger Southam (47) Sajid Javid (38) Sebastian O’Kelly (55) Sir Peter Bottomley (201) Taylor Wimpey (106) Tchenguiz (33) The Guardian (33) The Times (31) Vincent Tchenguiz (43) Waking watch contracts (40)
Previous Post: « Leaseholders to demonstrate in Westminster on July 18
Next Post: APPG July 11: Taylor Wimpey deserves no praise for its cheating RPI ground rent relief scheme, says leasehold house customer »

Reader Interactions

Comments

  1. Chris

    July 14, 2018 at 9:26 pm

    Does anybody think that a conflict of interest is in question within the government advisory committee? Note the following;

    Mark Allen, technical director for Saint Gobain UK, sits on the Building Regulations Advisory Committee, a non-departmental public body that advises the Communities and Local Government Secretary, on making Building Regulations and setting standards for the design and construction of buildings.

    The lethal insulation that burned so rapidly (Celotex RS5000) was fitted to Grenfell Tower and manufactured by Saint Gobain UK.

    Following the fire, Saint Gobain confirmed that they had supplied Celotex RS5000 for use at Grenfell Tower, and not Celotex FR5000 (FR indicating fire resistant) as had been specified in the August 2012 Sustainability and Energy Statement that was published as part of the Planning Application by the engineering consultants for the refurbishment.

    How can industry insiders be advising government on fire safety which ultimately benefits the manufacturer? Nothing to see here.

  2. Chris

    July 14, 2018 at 9:41 pm

    Furthermore,
    In 2016, narrowly after the Grenfell refurbishment finished, the NHBC listed several common combinations of cladding and insulation which it believed could be signed off without the need for even a desktop study. This included Celotex RS5000 insulation and ‘Class 0’ aluminium composite material cladding: the exact combination used on Grenfell.

    So yes, pay up NHBC!

Above Footer

Advising leaseholders. Avoiding disasters.
Stopping forfeiture. Exposing abuses. Urging reform.

We depend on individuals for the majority of our funding.

Support Us and Donate

LKP Managing Agents

Become an LKP Managing Agent

Common Ground
Adam Church
Blocnet property management2

Stay in Touch

To achieve victory in the leasehold game where you are playing against professionals and with rules that they know all too well - stay informed with the LKP newsletter.
Sign Up for Newsletter

Professional Directory

The following advertisements are from firms that seek business from leaseholders.
Click on the logos for company profiles.

Footer

About LKP

  • What is LKP
  • Privacy and data

Categories

  • News
  • Cladding scandal
  • Commonhold
  • Law Commission
  • Fleecehold
  • Parliament
  • Press
  • APPG

Contact

Leasehold Knowledge Partnership
Open Data Institute
5th Floor
Kings Place
London N1 9AG

sok@leaseholdknowledge.com

Copyright © 2023 Leasehold Knowledge Partnership | All rights reserved
Leasehold Knowledge Partnership Limited (company number: 08999652) is a company limited by guarantee that is a registered charity (number: 1162584) with the Charities Commission.
LKP website is hosted at www.34sp.com
Website by Callia Web