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Ews1 B2 Rating & Mortgages: Everything You Need to Know

Ews1 B2 Rating & Mortgages: Everything You Need to Know

If you’re trying to buy, sell, or remortgage a flat in a building with cladding, the term EWS1 form and B2 rating might already be causing some confusion or concern. These ratings can impact your mortgage eligibility, especially in the wake of post-Grenfell safety regulations. In this guide, we’ll break down what a B2 rating means, how it affects your mortgage options, and what steps you can take if your property is affected.

What Is an EWS1 Form?

Introduced by the Royal Institution of Chartered Surveyors (RICS), the EWS1 form is a certificate used to evaluate the fire safety of a building’s external wall system. The EWS1 process results in either an A rating (generally safe) or a B rating (requires remediation). These ratings directly affect how lenders assess the risk of a property, especially for flats in blocks with cladding or other combustible materials.

What Do EWS1 Ratings Mean?

EWS1 forms are divided into two primary categories- A and B, with further subcategories under each. Here's a breakdown of what each rating means:

Rating Meaning
A1 No cladding, or cladding poses no fire risk
A2 Cladding present, but no remedial work needed
B1 Combustible materials present, but no immediate action required
B2 Combustible materials present, remedial work required

Who Needs an EWS1 Form?

An EWS1 form is typically required for:

  • Flats in buildings over 18 metres tall (around six storeys), especially if they have cladding
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  • Buildings under 18 metres with specific fire safety concerns, such as timber balconies or combustible materials
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  • Buyers and sellers need to secure a mortgage or remortgage on a property in a potentially affected building.
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  • Lenders who request fire safety assurance before approving a mortgage

While not a legal requirement, many lenders won’t proceed without one if cladding or fire risk is suspected.

How Does a B2 Rating Affect Getting a Mortgage?

If a building has an EWS1 B2 rating, many lenders will refuse to offer a mortgage on the property until the necessary remediation has been carried out. This applies to:

Some buyers may be able to get a mortgage from a specialist lender, but interest rates can be higher, and terms more restrictive. Others may only be able to buy with cash until the cladding is removed or made safe.

What Are My Options If My Property Has a B2 Rating?

If your property has a B2 rating, here’s what you can do:

1. Check for Remediation Plans

Find out if your managing agent, freeholder or developer is planning or funding the necessary repairs. Some buildings are eligible for government funding, like the following:

2. Communicate with Your Lender or Broker

Some lenders may still consider your application with the right documentation and a clear remediation timeline. A mortgage broker with experience in EWS1-affected properties can help you understand these options.

3. Consider Specialist Lenders

Some lenders specialise in high-risk or non-standard properties. While rates may be higher, it could be a temporary solution until remediation is complete.

4. Stay Informed

Groups like End Our Cladding Scandal and government updates can provide support and push for policy change. 

Lender and RICS Guidance on EWS1 Ratings: 

The UK government has recently taken steps to protect leaseholders from the financial burden of fixing fire safety issues in blocks of flats over 11 metres tall. This includes measures to make sure that the cost of repairs does not fall on leaseholders, particularly for properties with higher-risk cladding. In response to these developments, lenders and the Royal Institution of Chartered Surveyors (RICS) have issued updated guidance regarding properties with EWS1 forms.

They emphasised the importance of making sure that the homes we live in or wish to buy are safe and free from fire safety defects. 

They explained that with the ongoing concerns about the safety of buildings with cladding or other fire hazards, owners and prospective buyers of flats must have confidence in the safety of the property they are considering.

The updated lending position is as follows:

  • Where the EWS1 form or equivalent assessment shows that remediation is not required (A1, A2, or B1 rating), Lenders will continue to approve mortgages as usual.
  • Where the EWS1 form or equivalent assessment recommends remediation (A3 or B2 rating): Lenders will work to support lending, but only if a costed and funded repairs plan is in place, with committed start and finish dates for all required work. 

Building Safety Act 2022

The Building Safety Act 2022 supports these efforts by providing statutory protections for leaseholders, outlining that they are not financially responsible for sorting fire safety risks, particularly in buildings with cladding issues. This legislation includes the Remediation Order regime, allowing the Building Safety Regulator to require that building owners address fire safety defects. This framework supports a clear path forward for addressing fire safety concerns and means that the costs of fixing defects fall on those responsible, not the leaseholders.

Get Expert Mortgage Advice From Bell Financial 

A B2 rating on an EWS1 form can cause major headaches when buying, selling, or remortgaging a flat. While it highlights genuine fire safety concerns that must be addressed, it brings financial and emotional strain on leaseholders. If you're unsure where you stand or need expert guidance, book a free consultation with Bell Financial Solutions today. We’re here to help you understand this process with confidence.

Frequently Asked Questions

Will the B2 Rating Affect House Prices?
Unfortunately, yes. Properties with a B2 rating can be harder to sell and often fall in value due to limited mortgage options. Buyers may expect discounts or avoid the property altogether until remediation is completed and a new EWS1 form is issued with a more favourable rating.
Is the EWS1 Form Always Required?
Not always. The government has clarified that not all buildings need an EWS1 form, particularly those under 18 metres in height, unless they have clear safety concerns. However, lenders may still request one, especially if the building has visible cladding or timber balconies.
How Do I Know If My Property Needs an EWS1 Form?
If your building has cladding or other fire safety concerns, an EWS1 form may be required, especially if it's above 18 metres. Check with your managing agent, freeholder, or lender to find out if the form is needed for your property.
Can a B2 Rating Be Upgraded?
Yes, a B2 rating can be upgraded once the necessary remedial work has been completed on the building. Once the external wall system is made safe and compliant with fire safety regulations, a new EWS1 form can be issued with a more favourable rating.
How Long Does It Take to Remediate a B2-Rated Property?
The time it takes to remediate a B2-rated property can vary, depending on the scope of work needed. Some buildings may require extensive repairs, which could take several months or even years. It's important to work with professionals and make sure that a clear remediation plan is in place to avoid unnecessary delays.
Can I Get a Mortgage with a B2 Rating?
Yes, it is possible to get a mortgage with a B2 credit rating. While this rating may limit access to some high street lenders, there are now lenders in the market who are willing to work with individuals who have less-than-perfect credit. Bell Financial Solutions has experience helping buyers in this situation and works with a wide range of lenders to find mortgage solutions. If you have a B2 rating, the team at Bell can guide you through your options and increase your chances of securing a mortgage that suits your needs.