A new report has challenged the robustness of the Government’s proposed scheme to secure the availability of affordable flood insurance for homes in flood-prone areas. The Flood Re scheme, proposed earlier this year, has been considered by researchers from the Centre for Climate Change Economics & Policy and the Grantham Research Institute at the London School of Economics. Their paper suggests that the Flood Re proposal takes no account for the impact of climate change on flood risk and thus could underestimate the demand from properties at moderate and high risk of flooding.
Defra has also just opened a consultation on the draft flood insurance clauses for the Water Bill, to invite examination of the Government’s proposed legislative approach to flood insurance. The consultation closes on 20 September.
- GOV.UK: Draft flood insurance legislation
- Grantham Research Institute: New flood insurance scheme could be unsustainable because it overlooks climate change
- CCCEP: Response to public consultation on ‘Securing
the future availability and affordability of home insurance in areas of flood risk’ (pdf, 200 KB)
- The Guardian: Flood insurance scheme inadequate, says study