South East commuter towns including Staines, Windsor, Datchet and Shepperton have become submerged by flooding from the Thames.
Up to 1,000 homes were flooded and many more homes and businesses opted to evacuate. Eric Pickles, communities secretary, warned of a high risk that the Severn and the Wye would also break their banks within days. Insurance companies are braced for a surge in flood claims as London commuter towns are hit for the first time. Insurance costs could reach up to £750m, according to estimates. David Cameron refused to rule out sacking Lord Smith, chairman of the Environment Agency. The prime minister told councils to spend whatever they needed to help the flood effort. Lord Smith said the agency had warned of the implications of “massive” cuts to its budget since the coalition came to power in 2010. The Times reports that more than £2bn could be wiped off the value of homes in some of the most exclusive neighbourhoods along the Thames if the crisis deepens. Experts said flooded properties could recover value over a number of years if there was no repeat and if defensive actions were taken. Wealthy homeowners whose Band H properties are deemed at high risk of flooding have been warned Flood Re will not cover them even though they will have to pay a levy for the affordable insurance scheme.
11/02/14 Financial Times 1, 2
Times 1, 2-7, 26
Daily Telegraph 1-3 19
