The Building Safety Levy will come into effect on 1 October 2026. This new tax applies to residential developments of 10 or more dwellings and is designed to fund the remediation of historic building safety defects including cladding removal.
The Building Safety Levy is part of the government's response to the Grenfell Tower fire and the broader building safety crisis.
It will fund remediation works on buildings with unsafe cladding and other fire safety defects.
Action required
No direct action for most landlords. However, landlords involved in new residential development should budget for the additional cost. The levy will add to development budgets and may affect new-build property prices.
Effective
1 October 2026
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