Those behind the Polluter Pays proposed amendment keep making this assertion. I explained why it wasn’t the case based on the (finally) released draft amendment in a comment on their site before Xmas. It has been held in moderation and not published. 1/16 #PolluterPaysAmendment
I was told it would be published with a reply by the middle of last week. It wasn’t. And these assertions are still being made. So, here is why they are wrong. It means some detail, I’m afraid.
2/16
The PP amendment says there will be ‘assessors’ appointed by the Govt. These assessors will i) decide if a building falls within the scheme, ii) decide what the fire safety defects are, iii) decide how much should be awarded for works, and iv) decide who pays.
3/16
This is beyond any individual’s ability, so would have to be a team. But more problematically, as this is effectively a judicial role, they would have to be free of any involvement or interest in the current mess. Such people don’t exist. Obviously an assessor couldn’t
4/16
decide on a building they had previously been involved with, but they also couldn’t decide on a building when they had previously been involved with a building with similar issues. This takes the available people down to a very small number indeed. So, slow to find & to act.
5/16
And subject to challenge on assessors’ history. Which relates to the next point. The PPB provides for the assessor’s decision as to whether a building falls within the scheme to be final. No route of appeal. So, that is subject to judicial review as a public body decision.
6/16
There will be a lot of judicial reviews of such decisions (hey, facing a couple of million in a payout, of course the developers/builders will take a punt on a JR). Challenges on public law grounds (including assessors being interested parties). Some will succeed.
7/16
And then PPB provides for an appeal to the First Tier Tribunal on extent of works and amount of award. Either the assessor body or the Secretary of State would be the respondent. The Tribunal is a ‘no costs’ jurisdiction. Which means for an appeal - even if they lost -
8/16
it would only cost the developer/builder their own legal costs, but every appeal would cost the assessor body/SoS, win or lose. So, every award would be appealed. Again, the developer’s costs of taking a punt on on appeal are minimal next to the size of the award.
9/16
There are other problems & potential challenges as well, and the suggestion that the regulations required to set up the Scheme would be in place in 6 months is, shall we say, highly optimistic, given the complexity of what the amendment leaves to be done in such regulations
10/16
But the baseline is that even if regs were in place in 6 months, an assessor team won’t be. & even if an assessor team was in place, the amount of litigation that would follow would mean no money would be paid out for at least the following 2 years, very probably longer.
11/16
As one lawyer I know put it, ‘the PP amendment would ensure I could pay my mortgage off early’.
And then, of course, the PP amendment doesn’t cover buildings below 18m with hazardous cladding like HPL, or wood to balconies, or anything else that wasn’t
12/16
a breach of building regs at time of building (& heaven knows what was a breach at the time is *highly* arguable - not a simple issue for the assessors, & definitely another basis for court proceedings).
PP amendment has other technical issues, but mostly more correctable 13/16
Though it also has to be said it doesn’t offer any protection to leaseholders for current costs & demands, or any way to reimburse.
While a version of Polluter Pays may be a part of the solution, it is a long way from *the* solution,& by itself would mean years of delay
14/16
So, as a lawyer who is wholly on the side of leaseholders in the #BuildingSafetyCrisis , I just cannot accept that what @polluterpaysbsb is saying here is accurate. And I can’t see this as *the* solution, because it simply isn’t.
15/16
If anything in this is wrong, I have very happy to have it explained why (NB explained, not just told it is wrong and accused of betraying the cause etc.) So far, it hasn’t been.
There’s been a lot of confusions about section 20 notices, what they are for and what they mean over the last few days. So, a thumbnail primer. There are basically two kinds of section 20 consultation (actual more like four or five, but two main types).
1/9
i) Where works are to be carried out to a building and the cost per leaseholder will exceed £250 per leaseholder; and
ii) Where a ‘long term qualifying agreement’ (ie a contract for longer than 12 months) is to be entered into with a contractor, or, say, a managing agent.
2/9
The first is one the one that everyone thinks of - ‘oh, a s.20 notice. It will be about works I will be charged for’. But the second is not uncommon, particularly with social landlords with multiple blocks/estates. (The idea is economies of scale. Actuality often different).
3/9
Digested Gove:
£4Bn for 11-18m cladding - good but relies on developers, manufacturers etc to cough up.
‘Want Developers, manufacturers etc to fund remediation of non-cladding issues’. Well. we all want that. Question is what Govt will do about it.
Will add (cross party?) amend to Building Safety Bill to ‘protect leaseholders’ from paying safety costs. This is a big one, with a lot of questions. Which costs? Arising when? (retrospective?). Seems clear will not extend to recovering payments already made by leaseholders. And
We now have a massive period of uncertainty. What happens to bills already demanded? What should leaseholders do? Wait for an unknown period to see if any amendment to the BSB would cover them?
On the Lords passing the McPartland/Smith/Bishop of St Albans amendment to the Fire Safety Bill. 1) Hurrah! 2) What happens now? The Bill goes back to the commons. But this time, unlike the govt stitch up last time, there will have to be a vote on the amendment. >
3) What does the amendment do? It is a short, neat, and quite brutal amend which would simply stop the costs of works under an order or notice under the 2005 fire safety order (amended by the Fire Safety Bill) from being passed on to leaseholders if in respect of build defects >
4) Does it dump all the costs on freeholders, as the minister suggested today? No, it is silent on who pays, except not the leaseholders. Could that mean freeholders have to pay? Yes, without something further from the Govt. Could freeholders go bust? Yes, just as leaseholders >
Waiting for the House of Lords to vote on amendment 87C to the #DABill - to make it easier for a perpetrator to be removed from a joint tenancy without ending the tenancy. But earlier, saw the minister promise consultation and possible regulation in response to amend 66B.
The amend was to prevent a council from taking into account local connection for a victim of domestic abuse fleeing from council accommodation in another area in the council’s allocation eligibility decisions. bills.parliament.uk/Publications/4…
Pleasingly, I recognised the amend as one that was drafted by @justinbates28 and myself for the Commons stage of the #DABill and resurrected by the remarkable efforts of @womensaid and others. I didn’t know it was coming back.
A couple of meta comments on the weekend’s legal related issues. 1) If I said something here in my private capacity which profoundly went against my firm’s stated values, I would expect there to be serious consequences for me. This is not about freedom of speech.
2) As a solicitor, I can choose what cases and clients I take on. Barristers can’t - if I instruct a barrister, they must do their best for the client whether or not they agree with the client’s position or like the client. This is very important. >
It means everyone can get a barrister who will argue their case as strongly as it can be argued within the law. I’ve instructed barristers who have previously argued against the legal argument I want to put forward now. I do this because they are good at their job, not because>
Some thoughts ahead of the debate on building safety and the costs of remediation that Labour intend to force on Monday, and on the cladding/fire safety fiasco in general. This may be a lengthy thread (oh hell it is)… 1/23
It surely cannot be questioned that the absolute priority is that these buildings are fixed. Maybe hundreds of thousands of leaseholders (or their tenants) are living in unsafe, unmortgageable, unsellable properties. It is destroying lives and the property market.. 2/23
et alone the risk of another disaster and loss of life. So, the question is, has to be, how best to achieve the fixing of these buildings. As things currently stand, outside of the limits of the £1.6 billion in ACM and Non ACM remediation grants provided by the Govt, … 3/23