Insurers called to No 10 amid fears over response to flooding

THE bosses of Britain’s biggest insurers will travel to Downing Street today for fresh talks regarding the insurance industry’s response to the winter floods.
Aerial views of damaged beach huts in Teignmouth.Aerial views of damaged beach huts in Teignmouth.
Aerial views of damaged beach huts in Teignmouth.

Cabinet Office Minister Oliver Letwin, Flooding Minister Dan Rogerson and Local Government Minister Brandon Lewis will take part in the round table summit with senior officials from Aviva, Direct Line, Axa, Lloyds, RSA and Ageas, along with industry body the Association of British Insurers.

Ministers have requested an operational briefing on the industry’s response to the floods which have devastated parts of England throughout the winter. It is unclear, however, whether they are also planning to re-open the thornier long-term issue of providing insurance to businesses at risk of flooding.

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The deal agreed by Mr Letwin with the insurance industry last summer, designed to ensure flood-risk properties can still obtain insurance, specifically excludes farms and other small businesses. David Cameron said last week he was prepared to look again at the issue.

Aerial views of damaged beach huts in Teignmouth.Aerial views of damaged beach huts in Teignmouth.
Aerial views of damaged beach huts in Teignmouth.

But last night Mr Rogerson made clear the immediate focus will be on properties flooded in recent days and weeks at what will be the first of a series of monthly meetings.

“We all need to pull together to help those areas badly affected by the floods, so they can get back on their feet as quickly as possible,” the Lib Dem Minister said. “Dealing with the aftermath will take time, and requires a stepped-up national effort. Insurers have a critical role to play, and by working closely together we will continue to ensure the help and support people need is available.”

The summit comes as unions warned that controversial plans to axe jobs at the Environment Agency are to be raised again with bosses this week – despite assurances from the Prime Minister that no jobs would be cut during the current crisis.

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The GMB said a meeting has been arranged for this Thursday, at which they believe a timetable will be discussed for pressing ahead with 1,700 redundancies.

Last week the Environment Agency said job cuts would be put on hold as it dealt with the effects of widespread flooding, a position reinforced by Mr Cameron as he visited areas affected by the bad weather.

A GMB spokesman said: “The meeting will discuss how the delay impacts on the timetable for job losses.

“This is ludicrous. Has the Government learned nothing from the current floods?”

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Mr Cameron, meanwhile, said he will visit every flood-hit area around the country to “learn lessons” as he unveiled £10m of support for flood-hit businesses to help them keep trading.

He said it was not fair to suggest the Government was on the back foot over its handling of the crisis.

Water levels on the Thames are gradually falling but will remain high, with the authorities warning that properties could be flooded “for some time”.

Two severe flood warnings are still in place on the Somerset Levels, where the country’s largest pumping operation is taking place. The Severn has also risen as a result of recent rainfall, causing a “continued risk” of flooding in Worcestershire and Gloucestershire.

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Rail passengers on routes through Chesterfield will face up to six weeks of delays from today due to the closure of one of the two tracks at Unstone while work is carried out to secure a hillside which has moved in the wet weather.

Only one service will operate each hour between Sheffield and London and take 20 minutes longer. There will be major changes to timings on services between Yorkshire, Nottingham and Derby. No trains will call at Dronfield and instead a bus service will be in place.