Aviva boss cautions that England’s upcoming housing could become uninsurable as flood danger grows

Aviva chief executive Amanda Blanc cautioned that England is "for sure" constructing homes that could later be uninsurable as flood danger escalates.

The remark arrives as evidence mounts that climate‑driven flooding is occurring more often and with greater intensity nationwide, with river over‑flows, coastal erosion and heavy rain increasingly endangering low‑lying projects.

Insurers have reacted by tightening underwriting standards and, in certain instances, pulling coverage from properties classified as high‑risk. Aviva, among the country’s biggest insurers, underscored the difficulty of juggling long‑term liability with the need to back new builds.

Policymakers in housing confront a quandary. The government’s target to deliver tens of thousands of new homes annually collides with the requirement that these dwellings be resilient to water‑related threats. Planning bodies are now urged to embed flood‑risk assessments earlier in the development cycle.

Prospective buyers and mortgage lenders are set to feel the repercussions. Absent affordable insurance, lenders may be reluctant to fund purchases, and property values in at‑risk zones could stagnate or fall.

Experts suggest several mitigations, such as stricter building codes mandating raised foundations, enhanced drainage, and the use of natural flood‑management measures like wetlands. Public‑private partnerships to bankroll larger flood‑defence projects are also under consideration.

Blanc said the industry anticipates regulatory tweaks to close the looming coverage gap, and insurers will keep refining risk models. She called for coordinated action from government, developers and insurers to safeguard homeowners and the wider housing market.