London Borough of Tower Hamlets vs developer and/or building owner (undisclosed)

Tower Hamlets Leads with First Local Authority Remediation Contribution Order Application to Fund Fire-Safety Remediation of Blackwall Way residential buildings

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Anonymous
5 months ago

SummaryIn late 2025, the London Borough of Tower Hamlets (LBTH) made history by issuing one of the first known Remediation Contribution Order (RCO) applications by a local authority under the Building Safety Act 2022. This strategic enforcement action was aimed at compelling a developer to fund urgent remediation of life-critical fire safety defects across four high-rise residential buildings on Blackwall Way, East London that have suffered extensive external cladding and other fire-safety shortcomings. The application represents a new frontier in how building safety enforcement powers are being deployed to address unresolved defect remediation in high-risk buildings.
Context and Enforcement ActionLBTH’s decision to pursue an RCO stems from repeated failures by the building owner/developer to take timely and adequate action on buildings with identified fire risks. Despite multiple enforcement notices under the Housing Act 2004 and other interventions, progress had stalled, leaving residents exposed to ongoing safety risks and delaying remedial works that could cost millions of pounds.
Under the Building Safety Act 2022 (BSA), local authorities are recognised as “interested persons” entitled to apply for RCOs alongside other bodies such as leaseholders, the Building Safety Regulator, and the Secretary of State. An RCO can order a developer, landlord, or associated corporate entity to pay towards the cost of remediating a building that suffers relevant defects (e.g., combustible cladding or deficient fire stopping).
In this case, LBTH’s application sought a remediation contribution from the developer in order to unlock sufficient funding to commence the works without undue delay — effectively shifting at least some portion of the *cost burden away from leaseholders and public funds and toward the party contractually responsible for the defects.
This action followed LBTH’s earlier success in securing one of the first local authority remediation orders requiring a building owner to remove dangerous aluminium composite material (ACM) cladding from a Stepney tower — an enforcement step under the BSA designed to protect residents and compel compliance after voluntary remediation efforts faltered.
Significance and Financial ImpactRegulatory Enforcement InnovationLBTH’s RCO application is a procedural first — one of the earliest examples of a local authority using its statutory rights under the Building Safety Act to try to compel a developer to contribute financially to remediation works. This demonstrates that local government bodies are prepared to exercise statutory powers creatively to protect residents and accelerate remediation where voluntary compliance has failed.
Fire Safety and Property RiskThe buildings subject to the RCO application stand at multiple storeys, meet the Act’s definition of “relevant buildings” with life-critical safety defects, and likely require remediation works costing several million pounds — based on typical costs for cladding removal, fire-stopping rectification, and related safety improvement programmes seen across similar cases.
Protecting LeaseholdersBy seeking an RCO, the local authority aims to prevent the developers from leaving remediation costs to leaseholders or public bodies — an outcome expressly avoided by the Building Safety Act’s policy intent. The success of this application would contribute to shaping how future RCOs are litigated and enforced.
Legal and Policy Implications

  • Local Authority Rights: This case demonstrates that local councils have the legal authority to pursue RCOs under section 124 of the Building Safety Act 2022 — expanding enforcement beyond leaseholder and regulator-led applications.
  • Developer Accountability: If granted, the RCO would allocate a portion of the financial burden of remediation to the developer rather than leaving it solely with the building owner or residents.
  • Funding Acceleration: The RCO mechanism is being used as a tool to unlock funding and expedite remediation work — crucial where improvement notices and voluntary remediation have stalled. 
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