RICS Response to Government Fire Safety Announcement
RICS have given a response to Ministerial Statement (HCWS228) on building safety in medium and lower-rise blocks of flats’ announced in Parliament on 21st July 2021
CLICK TO READ THE MINISTERIAL STATEMENT HERE
The RICS response reads as follows:
Given the impact of fire safety concerns on the public and the property market, the Government’s steps to clarify advice on fire safety risk and remediation to building owners is welcomed by RICS. We recognise how critical this issue is to many stakeholders, in particular leaseholders and it is therefore essential all stakeholders continue to seek solutions as rapidly as possible. In our wider work with many stakeholders on building safety, we have always stressed that a holistic view of fire safety of buildings is needed, with proportionate routes to mitigation of risks.
RICS’ guidance on valuing property in multi-occupancy residential buildings with cladding, published in March this year following extensive consultation, was produced with reference to fire safety advice at that time.
In light of this announcement from Government, RICS will work with all stakeholders (fire safety bodies, lenders, insurers, valuers, leaseholders and others), to consider the impact on our guidance to valuers. If amendments are needed to RICS guidance they would be developed through a consultative process and decided on by the independently led RICS Standards and Regulation Board which is responsible for ensuring our regulation is undertaken in the public interest.
In the meantime, our existing guidance remains in place and RICS valuers should continue to fulfil their professional obligations to advise lenders and purchasers, accurately on a property’s market value.
Mortgage lenders are able to give specific instructions to valuers to use alternative thresholds to those set out in the RICS guidance, as section 2.1 of Guidance Note already makes provision for this. We encourage valuers to discuss this issue with their lender clients as soon as possible to understand their intentions.
Source: RICS
