Aviva Chief Warns England Is Building Homes That Risk Becoming Uninsurable From Floods

England is continuing to build thousands of new properties in areas prone to floods even as climate threats grow, according to the head of insurance giant Aviva. Amanda Blanc told the BBC that building homes in such zones does not make sense and warned that properties being put up today could easily become uninsurable in the years ahead.

Flood Stats And Risks

Official figures from the Environment Agency show that about 6.3 million homes and businesses across England already face flood risks. Aviva research reveals that one in nine homes built between 2022 and 2024 sit at a medium to high risk of flooding. Looking ahead, nearly a third of all new homes built in 2024 will face some degree of flood risk by 2050 as extreme weather grows more acute. The Met Office notes that record-breaking wet winters like the one seen in the UK in 2023-24 have shifted from once in 80-year events to once in 20-year events due to global warming. Based on current construction trends, another 115,000 new homes are projected to go up in flood zones over the coming decade.

Government Response And Policy

A spokesperson for the Department for Environment, Food and Rural Affairs stated that the government has invested record amounts to protect nearly 900,000 properties from flood damage. The spokesperson added that new planning proposals will help stop housebuilding in high-risk areas while supporting the delivery of 1.5 million safe homes. Beyond housing, Blanc also urged ministers to avoid policy speculation ahead of the upcoming budget, pointing out that recent tax rumors caused pension withdrawals to surge to 30 times normal levels over the past year.

Context

Flood risk management is a growing challenge for urban planners and insurers as global temperatures rise and extreme weather events become more frequent. Insurance companies rely on accurate risk mapping to set policy prices, making construction in vulnerable areas a major long-term financial concern for both homeowners and the industry.