The UK’s climate is changing. With it, both the frequency and severity of extreme weather events have been increasing. Weather isn’t something we’re used to considering much in terms of property investments, but that may soon change as flood maps grow in size.
One in six properties in England is now at risk from flooding, a figure that will be higher by 2030. For landlords, the question is no longer if they will be affected, but when. The financial implications of water damage, be it structural repairs or tenant relocation costs, can be crippling. Therefore, a robust flood resilience plan is becoming something that more property owners must become aware of.
Modern flood defence for properties
Relying on sandbags is an antiquated and relatively ineffective strategy. Modern property flood requires a more holistic approach in regards to both permanent and responsive measures. Passive resistance solutions mean fitting demountable flood barriers to doorways, installing automatic airbrick covers, and even fitting non-return valves to drainage systems to prevent sewage backflow. These can limit the water into your home, making it a one-time up-front investment.
Of course, no solution is infallible, and when water ingress occurs, removal needs to be rapid. So, reactive measures are needed too, not just passive. This is where high-capacity water pumps, and finding which submersible pump is best for your home, become essential. For clearing basements and ground water, a submersible pump with an automatic float switch means it will be autonomous, activating as water levels rise. When dealing with floodwater containing silt and debris, a dirty water or trash pump will then be required so it can handle solids without clogging.
Financial and legal implications
Failing to implement proper flood mitigation measures can carry with it some risks beyond the physical damage. Insurers are becoming more inquisitive and harsh in checking the flood risk of properties, with portfolios in high-risk zones facing much steeper premium increases or even the withdrawal of cover altogether. While the Flood Re scheme provides some relief for homeowners, it does not extend to many commercial and residential lettings, which leaves landlords exposed.
Under the Landlord and Tenant Act 1985 and the Homes (Fitness for Human Habitation) Act 2018, landlords unsurprisingly have a duty to keep their properties safe and habitable. A failure to prepare for, or respond effectively to, a flood could be deemed a breach of this duty. This leads to legal action from tenants for damages and rent abatement. So, the cost of a plan is negligible compared to these liabilities.
Property owners prepare
Proactive flood risk assessment and mitigation are no longer optional but increasingly central to responsible asset management. It should be at the forefront of an investor’s mind when looking around developments for potential purchases; not just the risks and liabilities but availability of insurance. Property investors ought to conduct reviews of their portfolios and invest in appropriate resilience measures to protect their capital, as this is now a key risk management strategy to maintain their income streams.