Housebuilder criticises remediation payment plan for rival
Summary
The article reports that Avant Homes has agreed a repayment plan with MHCLG allowing remediation costs under the Developer Remediation Contract to be funded by government and repaid over several years. The arrangement has drawn criticism from another DRC signatory, while Avant says it provides liquidity support and MHCLG says it protects taxpayers and helps speed up cladding removal.
Why it matters
Residential property surveyors may encounter buildings affected by developer remediation obligations, especially where fire-safety defects and cladding issues are involved. The case highlights how funding, eligibility and repayment arrangements can affect the pace and delivery of remedial works on residential blocks.
Key points
- Avant Homes has agreed a repayment plan with MHCLG for remediation costs under the DRC.
- Eligible buildings will be assessed for government-funded remedial works, with Avant repaying the costs over time.
- The arrangement has been criticised by Persimmon’s chief executive as a bailout of a private equity owner.
- Avant says the deal supports liquidity and allows it to continue building and selling homes.
- Auditors flagged a going concern uncertainty linked to refinancing and cashflow pressures.
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