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Government threatens to shut down housebuilders who don’t pay into cladding fund

The government has warned developers it is “willing to explore” shutting down any housebuilders that do not contribute as much to its cladding fund as it would like.

The threat, made in a letter to industry bosses, marks a more aggressive approach that the Department for Levelling Up, Housing and Communities is now taking with housebuilders.

In the letter, Richard Goodman, the department’s director-general for safer and greener buildings, confirmed that developers would be expected to fund the replacement of dangerous cladding on blocks of flats that they built or refurbished.

They would also be required to chip in to a fund that will cover the cost of repairs to buildings where the original developers have either disappeared or gone bust.

“Those who agree to fulfil the commitments set out will continue to enjoy the benefits of the government’s services and support,” he wrote.

“Those who are unwilling to meet these criteria will not, and the secretary of state has made clear he is willing to explore taking further steps to ensure the only participants in this market are those who have committed to resolving this crisis.”

The demands drew criticism from the Home Builders Federation, which said it was looking at the “legality of the proposals”.

The Times (£)

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