Neal Ackcral: ‘We’re still working out what remediation is needed to address the issues found at Packington with the original contractor’

A HOUSING association says it may take legal action over possible cladding repair costs on a newly-developed estate.

Residents on the Packington estate by the City Road basin say they have been left in limbo after the discovery of “potential issues” with “fire breaks in external walls”.

It is owned by the Hyde Group whose chief property officer Neal Ackcral warned that leaseholders “may” be stuck with the bill to pay for any work required to make the sprawling estate compliant with government regulations. But he added that the housing association was “doing everything we can” to avoid passing the costs on.

Mr Ackcral said: “We’re still working out what remediation is needed to address the issues found at Packington with the original contractor, Rydon.

“I want to be clear that Hyde hasn’t asked leaseholders to pay for anything yet, and we’re doing everything we can to avoid passing costs on, but unfortunately we may have to.

“However, we won’t ask anyone to pay for anything until we’ve exhausted all other options. This includes asking Rydon, through our ongoing negotiations, to contribute. We’re also applying for government grants, such as the Building Safety Fund, to cover some of the costs. We’re also prepared to take legal action against those involved in the development, as we have successfully done elsewhere in the past.”

It is not known whether the Packington Estate will be eligible for the Building Safety Fund which protects leaseholders in buildings higher than 18 metres from the financial burden of remedial works.

Residents were first made aware that the estate might have cladding issues in February. A waking watch has been set up as a safety precaution.

The bitter irony for many residents is that the 12-year £170m redevelopment scheme was only completed two years ago after the previous buildings on the site were considered vulnerable to fires.

There are now roughly 790 homes on the estate with about 300 leaseholders in tower blocks reaching as high as six storeys.

A Rydon spokesman said: “Rydon can confirm that it is already working with Hyde to deliver some rectification work in order to address the situation as quickly as possible.”