According to the Guardian, Richard Benyon the Minister for Natural Environment and Fisheries, said whilst referring to the agreement between Gov. and Insurance Industry, at a Conference on flooding 7th March “Renewing [the agreement] would not solve the problem,”
“The current agreement does not apply to the majority of households at significant flood risk, nor does it apply to homes built since January 2009. It provides no universal guarantee of flood cover, as many claim it does. Nor does the agreement influence the pricing of policies.”
Tehe agreement is crucial to homes that have previously been flooded as it means householders can continue to receive cover.
Benyon went on to say “The review has shown that property-level protection is cost-effective and the study has underlined the practical help and emotional reassurance that this form of protection gives to people who are at risk of flooding.” Going on to say that Householders should instead be encouraged to invest in their own flood defences, including the installation of air brick covers, non-return valves and seals for cat flaps.
The Pitt review into the Summer Floods 2007 recommendations 69 and 70 refer to the requirement for Authorities to encourage the awareness of the benefits of pre-planning for flood situations.
Locally, should the Agreement not be re-newed, it will be interesting to see the effect on new development on Canvey Island being in Flood Zone 3. Will sales be affected if Insurance should not be available, will mortgages be available?