This follows the implementation of commitments made by mortgage lenders in an Industry Statement in July 2022 and ensures that customers have access to a range of mortgage products when seeking to purchase or re-mortgage flats impacted by cladding.  New guidance published by RICS will help valuers value properties with cladding and enable mortgage lending on affected properties.

With the RICS guidance now in place, from Monday 9 January 2023 lenders will be able to consider mortgage applications on properties in buildings in England of 11m and over in height.  Lenders will need evidence that buildings will be self-remediated by developers or covered by a recognised government scheme* or by leaseholder protections contained in the Building Safety Act, as evidenced by a Leaseholder Deed of Certificate. (All mortgage lending is subject to regulatory requirements and individual firms’ lending policies).

RICS will continue to support valuers, monitoring the impact of the new guidance to ensure it is proportionate, fit for purpose and helps facilitate mortgage lending, while delivering a consistent approach to valuation.

Lenders are committed to ensuring that those who want to buy or remortgage flats affected by building safety issues will be able to access mortgage finance, which will restore confidence in the market.

Lenders supporting this statement as at 20 December 2022 are:

Barclays Bank, HSBC, Lloyds Banking Group, Nationwide Building Society, NatWest, Santander

The following additional lenders support this statement from 18 December 2023:

Skipton Building Society, TSB, Virgin Money

The following additional lender supports this statement from 18 March 2024:

Hodge Bank

RICS, the Building Societies Association, and UK Finance also support this statement.

*Recognised remediation schemes in England are:

The Developer Remediation Contracts (11 metres+)

The Cladding Safety Scheme (11 metres +)

The Building Safety Fund (18 metres+)

Update, April 2025 

This update to the industry statement on cladding covers:

• Reliance in the mortgage journey on EWS1 forms more than 5 years old.
• The scenario of an EWS1 form in the mortgage journey by an invalid signatory. 

EWS1 forms more than 5 years old 

When EWS1 was developed in 2019, forms were nominally given a 5-year life as it was anticipated that buildings with defective cladding would have been remediated within this timeframe.  

As some early forms are now approaching their five-year anniversary there is a need to ensure the market for flats in affected blocks continues to operate without friction. To ensure this happens, the lender signatories to this statement further pledge not to require wholesale reviews of EWS1 forms which are more than 5 years old. 

This means that, subject to individual lender policy and risk appetite, where the EWS1 form is required by a lender, they can continue to be used in the mortgage application journey past their original 5-year life. Lenders may also consider alternative evidence about a building’s remediation status and leases qualifying for statutory protection from cladding remediation costs.  Some lenders may, however, not require an EWS1 and ask instead for other evidence, such as the statutory Fire Risk Appraisal of the External Wall (FRAEW), where available.

EWS1 forms by an invalid signatory*

Where there is an invalid signatory of EWS1 forms, the lender signatories to this statement further pledge not to require wholesale reviews of affected EWS1 forms. This is subject to individual lender policy and risk appetite. Lenders may consider alternative evidence about the remediation status of a building and whether the lease is a qualifying lease under the Building Safety Act 2022, in England.  This alternative evidence could include:

• The inclusion of a building in a recognised remediation funding scheme
• The statutory Fire Risk Appraisal of the External Wall (FRAEW), if available
• A valid Leaseholder Deed of Certificate
• Other evidence which might support reliance on the original EWS1 form, if available. 

Where the building is below 11 metres, individual lender policy and requirements will continue to apply.

* The signatory must, at the time of completion of the EWS1, have met the EWS1 professional body and competence criteria.