A report on there Bloomberg news agency suggests that the Nationwide Building Society is using new technology to identify areas at long term risk of flooding.
The consequence is that the lender has tightened its mortgage lending on homes at risk of flooding, especially as concerns grow over climate change during the course of the longest mortgage terms of circa 40 years.
Nationwide Head of Property Risk Rob Stevens is quoted as saying: “If we’re doing a 40-year mortgage term and there’s something there that I know could fundamentally change for the customer, I can’t not know that.”
Bloomberg says some 7,000 UK homes and businesses have been flooded in the past 18 months, with a record £2.55 billion paid out to honour insurance claims.
Most UK homes at high risk of flood damage get insurance coverage through the government’s Flood Re scheme - but that expires in 15 years, with no certainty as to what will replace it.
The Environment Agency estimates that 40% fewer homes will be protected by Flood Re in 2027 than it originality called for back in 2020.
Join the conversation
Be the first to comment (please use the comment box below)
Please login to comment