More detail confirmed about proposed powers to monitor professional body after frustration over controversial EWS1 forms

ricsshutterstock2_946116

RICS鈥 London HQ

Ministers are planning to legislate to give government the power to order regular reviews of the Royal Institution of Chartered Surveyors鈥 (RICS) governance.

The Department for Levelling Up, Housing and Communities (DLUHC) has today confirmed more detail about housing secretary Michael Gove鈥檚 pledge to 鈥渢ake powers鈥 to review RICS, first alluded to in a speech on Monday.

A spokesperson for DLUHC said: 鈥淲e are planning to legislate to give government the ability to periodically commission independent reviews of RICS鈥 governance and to publish the report of such reviews.鈥

Ministers have been frustrated by RICS鈥 decision in December to maintain its current advice to require controversial EWS1 forms on blocks under 18m in some circumstances with the . RICS said its decision was in the public interest as purchasers might otherwise be passed on costs unwittingly in some circumstances.

EWS1 building safety information forms have been blamed for preventing homeowners selling their properties and ministers called for a more 鈥減roportionate approach鈥 to risk.

On Monday, Gove said the government would take powers to review RICS governance and then added: 鈥淭hose in the industry who refuse to work with us in good faith to take a more proportionate approach should be clear that our determination is to fix the problem for all those caught up in this crisis.鈥

Former housing secretary Robert Jenrick on Monday said RICS had 鈥渇ailed to make good鈥 on discussions to take a more proportionate approach and asked the housing secretary what steps government will take about RICS because its behaviour is 鈥渂ordering on scandalous鈥.

See also>> Does Gove鈥檚 拢4bn cladding levy mark the start of an anti-development era?

Gove suggested discussions with RICS have been more positive lately. He said: 鈥淭here have been all sorts of difficulties with that organisation in the past, but I am now hopeful that we are on a more positive footing.鈥

Gove added: 鈥淥n EWS1 forms, we can dramatically reduce their use as a result of the engagement that we have with lenders and with RICS. Again, it will still be the case that, in the meantime鈥攅ven as we get a more proportionate approach鈥攖here will be some 11-to-18 metre buildings where work of that kind will be required, but we absolutely want to reduce it.鈥

On Monday, RICS issued a statement saying the organisation has 鈥渃onsistently taken a proportionate approach to valuation-guidance which is evidence-based and supported by all market participants鈥. It pointed to data this week showing as a result.

It said: 鈥淲e will continue to work with valuers and lenders to ensure that a proportionate approach is being applied consistently in practice and RICS鈥 standards and regulation board will keep the guidance under review.鈥

The government this week removed its consolidated advice note, which was interpreted to mean EWS1 forms should be used on all residential tower blocks. It is instead urging the use of a new standard developed by the British Standards Institute 鈥 PAS 9980:2022. 

Separately, the RICS has commissioned peer and former civil servant Michael Bichard to carry out an independent review of the organisation鈥檚 purpose, governance and strategy following a governance crisis at the organisation. Lord Bichard鈥檚 call for evidence closes on 21 January.

 

 

Topics