Flats: Mortgages
The question
To ask the Secretary of State for Housing, Communities and Local Government, how his Department ensures lenders comply with guidance that EWS1 forms are not required for buildings under 11 metres.
Answered by Samantha Dixon
Ten major banks and building societies have signed the lenders’ statement on cladding. These lenders have committed to consider mortgage applications for buildings over 11 metres tall, even if a property has building safety issues, provided either the building has funding for works from government or the developer, or the property is protected by the leaseholder protections in the Building Safety Act, and the leaseholder has completed a ‘Leaseholder Deed of Certificate’ to evidence it.
Officials in my department engage with lenders individually should we receive evidence to suggest a signatory is not upholding the statement.
We are of the firm belief that mortgage lenders should not request an EWS1 form as a requirement to lend on buildings under 11 metres tall, but whether they do so remains their commercial decision and is subject to their individual lending criteria.
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