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£400m ACM Cladding Remediation Fund open for bids 05/07/2018 Labelled as Finance, Regulation

The government made an announcement on 16 May 2018 that it would fully fund the removal and replacement of unsafe aluminium composite material (ACM) cladding on residential buildings which are 18 metres or over, owned by councils and housing associations.


The Ministry of Housing Communities and Local Government (MHCLG) on 3 July 2018 provided further details of the Social Sector ACM Cladding Remediation Fund with information on how councils and housing associations can apply for this funding, including the scope of the fund and more details on how it will operate and the information required when applying.


A fund of £400million is being made available and grants will be provided to cover all reasonable capital costs for the remediation of ACM cladding systems, which have failed the large scale fire performance tests, commissioned by the government in 2017.


Grant funding will not be available for:


  • Internal works, replacement of windows, interim fire safety measures and any other non-cladding system related costs
  • Revenue costs including those associated with interim safety measures
  • Structural works not directly related to remediation of the unsafe cladding


Councils must confirm that the proposed replacement material used in the remediation works are classified as European Class A1 or Class A2.


Grant will be paid in 2 stages with 80% paid when remediation works start on site.


Councils will be expected to take all reasonable steps to pursue legal action, insurance claims and warranties where appropriate and where councils have been successful in recovering costs, the government will seek to recoup any grant funding provided under this programme.   


Applications are required for each high rise building and MHCLG is asking councils to make applications for grant funding by the end of August 2018.


Councils outside London must apply via Homes England using their Investment Management System (IMS), London councils must apply via the Greater Lindon Authority (GLA) using their Open Project System (OPS).


Full details of the Social Sector ACM Cladding Remediation Fund can be found on the government website.



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