Flood scheme could exclude landlords

BTL property might be excluded from the Government's new Flood Re scheme.

The scheme, proposed to start later this year is aimed at providing affordable insurance to homes in flood risk areas, paid for by a approximate £10 levy placed on household insurance policies. 

However, the scheme as it stands is not expected to cover businesses. Whether BTL property is classified as a business it currently under debate between the Council of Mortgage Lenders (CML), the trade body for banks and building societies lending to landlords, insurers and the government.

If BTL does find itself excluded from the scheme, then landlords can expect their landlord insurance premiums to go up.

Watch this space.