Galliard Homes could be placed on a government black list after failing to sign Michael Gove’s building safety pledge.
Officials have singled out Galliard as the most high-profile developer to have failed to sign up to the £2bn fund to fix high-rise buildings in England identified as unsafe after the Grenfell Tower fire. More than 35 homebuilders agreed last week to contribute towards the cost of fixing buildings.
The housing secretary is expected to tell Galliard Homes that it risks being blocked from getting planning permissions or building approvals. Other measures planned include preventing the firm selling houses through the government’s Help to Buy loan scheme and alerting buyers in overseas markets where it is operating.
An internal government document says the first step will be to “begin advising consumers formally” not to buy off-plan or new-build properties from Galliard where the process of obtaining planning permission has not begun. The document suggests it would “be irresponsible” not to warn prospective buyers of the risks, as Gove could stop Galliard receiving building approval or planning consent for new developments.
Galliard said it had acted swiftly on cladding and supported the government’s policy. It said: “Before committing ourselves to a government pledge to assist in remedying defective works, we require certainty and a clear and succinct plan for developers, the government, the supply chain, and insurers to all work together to find an equitable solution.”
