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PRESS RELEASE

Press release: Cladding concerns causing headaches for Scottish homeowners

Glasgow East MP David Linden has called upon the UK Government to consider the policies around leaseholder’s selling and mortgaging their properties.

In the wake of the Grenfell fire and the subsequent Inquiry, the UK Government has called upon building owners to assess and manage the risk of external fire spread regardless of height.

However, this has now led to thousands of leaseholders living in high-rise blocks unable to sell their homes or obtain mortgages because of regulations around combustible materials.

Experts have estimated that up to 600,000 leaseholders could be affected, effectively becoming 'mortgage prisoners'.

This issue could affect both high rise buildings, which are classed as taller than 18m, and medium-rise buildings, which stand at less than 18m. There are currently around 12,000 blocks across the country standing at 18m and higher. And it is estimated that there are 100,000 medium-rise buildings.

Challenging the Minister in the House of Commons today, Glasgow East MP David Linden said the UK Government must "commit" to the most stringent safety standards, whilst avoiding the issues that have now emerged.

Speaking from the House of Commons, David Linden MP said:

"Despite the Building Safety Programme only applying in England & Wales, its advice is still being used by insurance companies and mortgage providers in Scotland to guide their decisions.

"This is leading to many people north of the border ending up in the same position as those south of the border - essentially mortgage prisoners and having properties valued as being worthless.

"This isn't just an issue of commonality for buildings above 18 metres - It includes those under 18 metres too. Thousands of leaseholders will be impacted by this.

"I want to ensure that the UK Government and the minister have made it clear to lenders and insurance companies that applying this process to Scotland is unfair.

"I also questioned the minister on the archaic and unjust institution of lease holding in England – it is time for the UK Government to follow Scotland’s example and abolish this outdated practice.

"The UK Government must commit to the highest possible safety standards, whilst avoiding problems such as ‘mortgage prisoners’ and archaic practices such as lease holding."