Answers · UK 2025/26
What is the Building Safety Levy in the UK?
The Building Safety Levy is a charge on residential property developers to fund the remediation of unsafe cladding on buildings under 18 metres where the original developer cannot be held responsible.
Full answer
The Building Safety Levy was introduced under the Building Safety Act 2022 to fund remediation of historical fire safety defects (particularly cladding) on residential buildings. It applies to most new residential developments in England requiring building control approval. The levy is charged on net floor area and varies by location -- London rates are highest. Developers pay the levy per square metre of new residential floor space. The levy does not apply to affordable housing, social housing, student accommodation, or conversions without net new floor area. The funds are used by Homes England for the Building Safety Fund, compensating leaseholders who are not responsible for the defects.
This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.