Redrow, M.J. Gleeson Sign U.K. Fire-Safety Pledge
06 April 2022 - 4:58PM
Dow Jones News
By Joe Hoppe
Redrow PLC and M.J. Gleeson PLC both said Wednesday that they
have signed up to the U.K. government's fire-safety pledge, with
the former expecting to make an additional provision of 164 million
pounds ($214.4 million).
The house builders said they have signed the pledge following
industry discussions with the Department for Levelling Up, Housing
and Communities.
The pledge sets out the industry's commitment to removing
cladding and remediating fire-safety issues in buildings higher
than 11 meters following investigations into London's 2017 Grenfell
Tower fire disaster, which killed 72 people.
Redrow said its existing provision for fire safety in high rise
buildings is GBP36 million, and it expects an additional GBP164
million will be required, though it will pursue recoveries from
main contractors, warranty providers and other third parties.
Gleeson said it wasn't aware of any material fire-safety issues
for the 15 buildings over 11 meters it was historically involved
in, but it will undertake an assessment, which it expects to
conclude by the end of June.
Taylor Wimpey PLC, Crest Nicholson Holdings PLC, Persimmon PLC
and Berkeley Group Holdings PLC also said they have signed the
pledge. Taylor Wimpey said it expects a further provision of around
GBP80 million, Crest Nicholson said it expected a liability of up
to GBP120 million, Persimmon said it expects its existing
provisions to cover the bill and Berkeley didn't provide any
financial details.
Write to Joe Hoppe at joseph.hoppe@wsj.com
(END) Dow Jones Newswires
April 06, 2022 02:43 ET (06:43 GMT)
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