Building giant adds £50m to cladding fund to fix fire-trap flats after profits doubled

Advertisement

[ad_1]

Building giant adds £50m to cladding fund to fix fire-trap flats after profits doubled

  • Property developer Bellway has set aside a further £51.8m to fix fire-trap flats
  • It takes the amount it has pledged for unsafe buildings since Grenfell to £164.7m
  • However, leaseholders claimed company was pretending to take issue seriously


Advertisement

Property developer Bellway has set aside a further £51.8million to fix fire-trap flats after its profits doubled, it was announced yesterday.

The firm said the extra funding takes the amount it has pledged for unsafe buildings since Grenfell in 2017 to £164.7million. 

Advertisement

It has made around £2billion profit in that period. But the company said ‘it will take several years’ to complete the repairs.

Property developer Bellway has set aside a further £51.8million to fix fire-trap flats after its profits doubled, it was announced yesterday (stock image)

Property developer Bellway has set aside a further £51.8million to fix fire-trap flats after its profits doubled, it was announced yesterday (stock image)

However, leaseholders living in Bellway flats claimed the company was merely pretending to take the issue seriously.

It came as the group posted a 102 per cent jump in pre-tax profits to £479million for the year to July as revenues surged 40 per cent to £3.1billion.

Advertisement

Annual sales also rose 35 per cent to 10,138.

Bellway said it expected its provision for unsafe flats to increase further, but said the ‘complex’ nature of organising repairs meant ‘it will take several years’ to complete its programme.

Construction giants have between them pledged around £500million to fix fire-trap flats since the Daily Mail launched a campaign to end the cladding scandal in January.

But this still leaves around £9billion missing from the estimated £15billion total cost of fixing the scandal, meaning many leaseholders face shock bills of tens of thousands of pounds each.

Advertisement

Developers have refused to say how many buildings need costly repairs, making it impossible to tell if their funds are adequate.

The firm said the extra funding takes the amount it has pledged for unsafe buildings since Grenfell in 2017 to £164.7million, leaseholders living in Bellway flats claimed the company was merely pretending to take the issue seriously  (stock image)

The firm said the extra funding takes the amount it has pledged for unsafe buildings since Grenfell in 2017 to £164.7million, leaseholders living in Bellway flats claimed the company was merely pretending to take the issue seriously  (stock image)

Giles Grover, of the End Our Cladding Scandal campaign group, lives in a Bellway block where leaseholders are facing bills of £20,000 each to fix missing fire breaks and flammable cladding.

Bellway says The City Gate site in Manchester was built according to regulations at the time.

Advertisement

Mr Grover said: ‘This is another attempt by the [Bellway] group to pretend they are taking fire safety issues that are still being uncovered in legacy developments seriously.

‘The group says it is working with building owners and warranty providers to assess the safety of buildings but that it has “fully provided” for known issues.

‘At my building in central Manchester, where leaseholders are still on the hook for around £20,000 worth of remedial costs, Bellway refuses to engage with us in any real way and has, instead, chosen to instruct solicitors to aggressively respond to our pleas for help – is that how Bellway defines behaving responsibly?’

Advertisement

Advertisement

Advertisement

[ad_2]

Advertisement

Similar Posts