Managing flood risks
Public Accounts Committee
Closed
Inquiry
Flooding and coastal erosion put lives, livelihoods and people’s well-being at risk. The Environment Agency estimates that 5.2 million homes and businesses in England are at risk of flooding and that around 700 properties are vulnerable to coastal erosion over the next 20 years. In addition, more than two thirds …
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7
Recommendations
23
Conclusions
1
Report
1
Oral session
4
Letters
1
Event
Activity timeline 7 events
31 Aug
2021
2021
6 Jul
2021
2021
16 Apr
2021
2021
26 Feb
2021
2021
Report published
1 Feb
2021
2021
1 Feb
2021
2021
14 Jan
2021
2021
Oral evidence
Oral evidence sessions 1 session
14 Jan 2021
View on parliament.uk
Managing flood risks
Catherine Wright · Environment Agency
Sally Randall · Department for Environment, Food and Rural Affairs
Sir James Bevan · Environment Agency
Tamara Finkelstein · Department for Environment, Food and Rural Affairs
Reports 1 report · click to expand
| Title | HC No. | Published | Items | Response |
|---|---|---|---|---|
| Forty-Fifth Report - Managing flood risk | HC 931 | 26 Feb 2021 | 30 | Responded |
Recommendations & Conclusions
30 results
2
Recommendation
Deferred
Forty-Fifth Report - Managing floo…
Scarce local authority resources and low levels of private sector investment are barriers to the...
Scarce local authority resources and low levels of private sector investment are barriers to the effective management of flood risks, especially given the impact of Covid-19. Lead local flood authorities (unitary authorities or county councils) are responsible for managing local …
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Government Response
The government agreed with the recommendation to identify areas of shortfall in flood risk funding but deferred the implementation, stating it will consider a review of local government funding as part of the Spending Review 2021, missing the July 2021 reporting deadline.
HM Treasury
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3
Recommendation
Accepted
Forty-Fifth Report - Managing floo…
In 2014 the NAO report on strategic flood management found there was a profusion of...
In 2014 the NAO report on strategic flood management found there was a profusion of plans that often duplicate across geographical or administrative areas. Defra and the Agency have not followed the NAO recommendation to review their strategies and plans …
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Government Response
The government accepts the recommendation and provides an update, committing to transform local flood risk planning by 2026, consult on reforms in due course, and is working to consult on updated draft Flood Risk Management Plans in Autumn 2021.
HM Treasury
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4
Recommendation
Deferred
Forty-Fifth Report - Managing floo…
Short-term funding cycles are impacting on the Agency’s ability to manage flood risks effectively.
Short-term funding cycles are impacting on the Agency’s ability to manage flood risks effectively. The Agency has a six-year capital funding settlement for investment in flood defences (2021–22 to 2026–27), but only a one-year settlement for revenue funding (2021–22). Revenue …
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Government Response
The government agrees with the recommendation to reduce the adverse impacts of short-term funding cycles, highlighting its six-year capital investment programme and stating that future maintenance budgets, including for longer-term security, will be reviewed as part of Spending Review 2021.
HM Treasury
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5
Recommendation
Accepted
Forty-Fifth Report - Managing floo…
The current indicators used to monitor national flood risk do not cover important elements such...
The current indicators used to monitor national flood risk do not cover important elements such as risks to agricultural land, business premises, and infrastructure. The Agency uses the number of homes ‘better protected’ as the main performance indicator for its …
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Government Response
The government accepts the recommendation, confirming it is developing a new national set of flood risk indicators by Spring 2022 that will incorporate all types of flood risk (residential, non-residential, agricultural, infrastructure) and allow for comparison over time.
HM Treasury
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6
Recommendation
Accepted
Forty-Fifth Report - Managing floo…
The Department has not ensured that all regions, deprived areas in particular, get a fair...
The Department has not ensured that all regions, deprived areas in particular, get a fair share of the available funding. The Agency uses the level of risk in an area and the readiness of projects to go ahead to decide …
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Government Response
The government accepts the recommendation, committing to undertake and publish annual analysis of investment levels across regions and deprived areas through KPIs, with reporting beginning by Spring 2022, and will take appropriate action to reduce funding inequality.
HM Treasury
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7
Recommendation
Accepted
Forty-Fifth Report - Managing floo…
We are not convinced that the Department has yet done enough to address the difficulties...
We are not convinced that the Department has yet done enough to address the difficulties those recently flooded have in getting affordable insurance. Some people who have recently been flooded still face difficulties in obtaining affordable insurance. The Department states …
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Government Response
The government accepted the recommendation, stating it wrote to the Committee by the deadline and committed to ongoing research into flood insurance, publishing responses to consultations on the Flood Re scheme and Property Flood Resilience (PFR) in due course, and continuing significant investment in PFR measures.
HM Treasury
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8
Recommendation
Rejected
Forty-Fifth Report - Managing floo…
Despite the known risks, there are still plans to build houses on flood plains.
Despite the known risks, there are still plans to build houses on flood plains. While government policy is not to build on flood plains unless unavoidable, the Agency’s analysis indicates that there could be a large increase – of up …
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Government Response
The government explicitly rejected the recommendation, stating that existing planning policy (NPPF) already provides a strong steer to avoid building in high-risk flood areas and that the vast majority of planning decisions comply with Environment Agency advice.
HM Treasury
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1
Conclusion
Acknowledged
Forty-Fifth Report - Managing floo…
On the basis of a Report by the Comptroller and Auditor General, we took evidence...
On the basis of a Report by the Comptroller and Auditor General, we took evidence from the Department for Environment, Food and Rural Affairs (the Department) and the Environment Agency (the Agency) on managing flood risks.1
Government Response
The government provided an introduction to its response, acknowledging the committee's report and outlining the context of flood risk management, the roles of relevant bodies, and investment in flood defences.
HM Treasury
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9
Conclusion
Deferred
Forty-Fifth Report - Managing floo…
Lead local flood authorities (unitary authorities or county councils) manage the risk of surface and...
Lead local flood authorities (unitary authorities or county councils) manage the risk of surface and ground water flooding, and flooding from ordinary water courses which are not main rivers. The funding local authorities receive for flood risk management is not …
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Government Response
The government agreed with the committee’s observation and committed to review local government funding for statutory flood and coastal erosion risk management functions as part of the Spending Review 2021.
HM Treasury
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10
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
The amount of funding local authorities receive for flood risk management is determined by the...
The amount of funding local authorities receive for flood risk management is determined by the Ministry of Housing, Communities and Local Government’s (MHCLG) local government funding formula. The Department told us that, taken as a whole, local authorities are spending …
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Government Response
The government agreed with the committee's conclusion, confirming its commitment to review local government funding for statutory flood and coastal erosion risk management functions as part of the Spending Review 2021, aligning with the existing commitment noted by the committee.
HM Treasury
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11
Conclusion
Deferred
Forty-Fifth Report - Managing floo…
The Government introduced partnership funding in 2011, requiring many flood schemes to be part-funded from...
The Government introduced partnership funding in 2011, requiring many flood schemes to be part-funded from sources other than government grant-in-aid. The cost of individual schemes is shared between national and local sources of funding, to allow more schemes to go …
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Government Response
The government agrees with the committee's observation about the success of partnership funding and notes existing policy actions to strengthen incentives. It has committed to review local government funding for flood risk management as part of the Spending Review 2021.
HM Treasury
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12
Conclusion
Forty-Fifth Report - Managing floo…
The EA Strategy highlights the role of Community Interest Companies (CIC) including the East Wash...
The EA Strategy highlights the role of Community Interest Companies (CIC) including the East Wash CIC in partnership funding. Following questioning in the hearing, Defra confirmed that parish councils precept income can be used to fund flood and coastal erosion …
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HM Treasury
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13
Conclusion
Deferred
Forty-Fifth Report - Managing floo…
Nearly all this partnership funding has been obtained from public sector sources, with only £39...
Nearly all this partnership funding has been obtained from public sector sources, with only £39 million (7% of the total) being secured from the private sector. This is significantly lower than the 25% of partnership funding secured from the private …
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Government Response
The government agrees with the committee's observation regarding low private sector contributions and states that existing policy will further strengthen incentives. It has committed to review local government funding for flood risk management as part of the Spending Review 2021.
HM Treasury
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14
Conclusion
Deferred
Forty-Fifth Report - Managing floo…
The government has a record of providing the Agency with long-term capital funding settlements, with...
The government has a record of providing the Agency with long-term capital funding settlements, with two six-year settlements covering 2015–16 to 2020–21 and 2021–22 to 2026–27. However, the Agency only has a revenue funding settlement covering the next financial year …
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Government Response
The government agrees with the observation, recognizing the benefits of multi-year budgets and highlighting its multi-year capital investment programme. However, it states that future revenue budgets will continue to be reviewed as part of Spending Review 2021.
HM Treasury
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15
Conclusion
Deferred
Forty-Fifth Report - Managing floo…
The Agency told us that multi-year revenue funding settlements are preferable and help it to...
The Agency told us that multi-year revenue funding settlements are preferable and help it to plan in areas such as staffing. The Agency has skills shortages in some specialist areas like engineering that are critical for flood defence. It explained …
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Government Response
The government agrees with the observation that multi-year revenue funding is preferable, acknowledges the benefits of multi-year budgets, and will continue to review future budgets as part of Spending Review 2021.
HM Treasury
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16
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
The Agency explained that on-going maintenance costs are increasing for three main reasons.
The Agency explained that on-going maintenance costs are increasing for three main reasons. First, as a result of more extreme weather due to climate change, both more extreme flooding and more extreme droughts. Second, some flood defences in England are …
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Government Response
The government agrees with the committee's observation and details its existing multi-year flood and coastal defence investment programmes, including a record £5.2 billion for the next six years, and past increases in maintenance funding. It also mentions reviewing future budgets as part of SR21.
HM Treasury
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17
Conclusion
Not Addressed
Forty-Fifth Report - Managing floo…
The Agency is already seeing the impacts of climate change through the increasing strain on...
The Agency is already seeing the impacts of climate change through the increasing strain on existing flood defences. In March 2020, the government gave the Agency £120 million to repair the defences damaged in the 2019–20 winter floods. At that …
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Government Response
The government's response, which discusses multi-year capital funding and future budget reviews, does not address the committee's specific observations regarding the progress of repairs to flood defences damaged in the 2019-20 winter floods.
HM Treasury
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18
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
The Agency is on track to better protect 300,000 homes as a result of its...
The Agency is on track to better protect 300,000 homes as a result of its capital investment programme for 2015–16 to 2020–21. While this a clear and easily understood measure, it does not provide any indication of what has happened …
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Government Response
The government states it agrees with the committee's observation and is developing an improved framework for understanding overall flood risk, including new methods for calculating risk reduction. By Spring 2022, the department will have in place a full suite of metrics (KPIs) and a new oversight process to monitor flood risk.
HM Treasury
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19
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
The Agency also uses its National Flood Risk Assessment (NaFRA) model to estimate the number...
The Agency also uses its National Flood Risk Assessment (NaFRA) model to estimate the number of properties at risk of flooding each year. Due to changes in methodology over the 2015–16 to 2020–21 period, a direct comparison between years is …
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Government Response
The government agrees with the observation and states that the department and Agency are developing a framework for understanding overall flood risk, including improved methods, new KPIs by Spring 2022, and considering interim improvements to the current NaFRA before its 2024 update.
HM Treasury
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20
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
When we asked the Agency how it assesses overall national flood risk for non- residential...
When we asked the Agency how it assesses overall national flood risk for non- residential buildings, agricultural land and infrastructure it said that it does not measure this unless it is part of a particular flood scheme. So, for example …
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Government Response
The government agrees with the observation and is developing a framework for understanding overall flood risk, which includes improved methods like Expected Annual Damages (EAD) and a new suite of KPIs by Spring 2022, aiming to provide a more comprehensive national assessment for all asset types.
HM Treasury
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21
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
The Agency recognised that the way flood risks are often described, using percentages and probabilities...
The Agency recognised that the way flood risks are often described, using percentages and probabilities of being flooded, are not very meaningful for the public. It described 18 Q 27: C&AG’s Report, para 16 19 Letter dated 27 January from …
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Government Response
The government agrees with the observation and commits to developing an improved framework for understanding overall flood risk, including new measurement methods and KPIs. By Spring 2022, the department will have in place new metrics and an oversight process to monitor flood risk and inform future action, contributing to better risk communication.
HM Treasury
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22
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
The Department has committed to developing a new national set of indicators on flood risk...
The Department has committed to developing a new national set of indicators on flood risk by spring 2022. It confirmed that these new indicators will be measurable and will enable the tracking of national flood risk over time.25 24 Q …
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Government Response
The government agrees with the committee's observation and reaffirms its commitment to developing a national set of indicators on flood risk by Spring 2022, outlining the framework and metrics currently being developed.
HM Treasury
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23
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
The Department for Environment, Food and Rural Affairs (the Department) told us that the responsibility...
The Department for Environment, Food and Rural Affairs (the Department) told us that the responsibility for deciding which flood defence schemes to invest in is delegated to the Environment Agency (the Agency). The Agency explained that it decides which schemes …
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Government Response
The government agrees with the committee's observation on delegated responsibility for scheme selection. It commits to monitoring the performance of the investment programme, including regional and deprived area investment, through KPIs and a new governance board, with strengthened reporting of progress by Spring 2022.
HM Treasury
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24
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
The Agency published a report in 2020 which showed that people from more deprived areas...
The Agency published a report in 2020 which showed that people from more deprived areas faced greater flood risk than those living in less deprived areas, although the gap had narrowed in the last 15 years. The report also showed …
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Government Response
The government agrees with the implied need for better understanding and monitoring, committing to monitor the flood defence investment programme and report on investment in deprived areas via KPIs, with strengthened reporting in place by Spring 2022.
HM Treasury
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25
Conclusion
Accepted
Forty-Fifth Report - Managing floo…
We also asked the Agency about the reasons for the wide variation in the level...
We also asked the Agency about the reasons for the wide variation in the level of flood defence investment per property at risk between regions. The Agency explained that the level of flood risk will determine where investment is made. …
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Government Response
The government agrees with the observation and commits to new actions, including monitoring regional investment patterns through KPIs, establishing a new governance board to review reports, and strengthening overall reporting by Spring 2022. It is also exploring ways to support local economies through a Call for Evidence.
HM Treasury
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26
Conclusion
Acknowledged
Forty-Fifth Report - Managing floo…
We asked the Department why some people faced difficulties in obtaining affordable insurance after being...
We asked the Department why some people faced difficulties in obtaining affordable insurance after being flooded, particularly those in social housing. The Department said that Flood Re, a joint initiative between the insurance industry and the UK Government, was established …
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Government Response
The government acknowledges the committee's conclusion by detailing ongoing work to address flood insurance affordability, including commencing new research (Spring 2021-Autumn 2022) and publishing consultations on improving the Flood Re scheme and Property Flood Resilience uptake.
HM Treasury
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27
Conclusion
Acknowledged
Forty-Fifth Report - Managing floo…
The Department’s research, following the floods in Doncaster in November 2019, suggests that some people...
The Department’s research, following the floods in Doncaster in November 2019, suggests that some people were still unable to obtain affordable insurance despite the existence of Flood Re. The research report made a number of recommendations which the Department is …
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Government Response
The government acknowledges the committee's conclusion by detailing ongoing and future work to address flood insurance affordability, including considering proposals from the Doncaster flood review, initiating new research into insurance availability, and launching consultations on improving the Flood Re scheme.
HM Treasury
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28
Conclusion
Accepted in Part
Forty-Fifth Report - Managing floo…
Written evidence from the Association of British Insurers (ABI) and Flood Re emphasised the importance...
Written evidence from the Association of British Insurers (ABI) and Flood Re emphasised the importance of property-level flood resilience measures such as flood barriers and doors. Such measures can reduce the cost of repairs and the recovery time of affected …
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Government Response
The government states it agrees and is acting on property-level flood resilience by commencing research into flood insurance affordability, publishing a consultation and call for evidence on the Flood Re scheme and Property Flood Resilience, and allocating a new £200 million place-based resilience programme, alongside ongoing support through existing schemes.
HM Treasury
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29
Conclusion
Rejected
Forty-Fifth Report - Managing floo…
The Agency told us that the government’s current strategy was not to build houses on...
The Agency told us that the government’s current strategy was not to build houses on flood plains unless there was no alternative and that any developments on flood plains should not increase the risk of flooding. The Agency is a …
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Government Response
The government rejects the Committee's (implicit) recommendation regarding building on floodplains, stating that while avoidance is key, development may be necessary in some areas under strict National Planning Policy Framework tests, and ongoing planning reforms will further support flood risk avoidance.
HM Treasury
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30
Conclusion
Rejected
Forty-Fifth Report - Managing floo…
Written evidence from Flood Re highlighted that the Agency does not have responsibility for surface...
Written evidence from Flood Re highlighted that the Agency does not have responsibility for surface water flooding and it has concerns about the impacts of developments in dense urban areas where surface water flood risks are high. It also has …
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Government Response
The government rejects the implied recommendation, arguing that current planning policy (NPPF) already provides a strong steer to avoid development in high-risk flood areas and that the reformed planning system will further support flood risk avoidance.
HM Treasury
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Correspondence 4 letters
6 Jul 2021
Correspondence from Tamara Finkelstein, Permanent Secretary, Department for Environment, Food and Rural Affairs, re Forty-fifth Report of Session 2019-21: ‘Managing Flood Risk’, dated 28 June 2021
Parliament page
16 Apr 2021
Correspondence from Tamara Finkelstein, Permanent Secretary, Department for Environment, Food and Rural Affairs, re Forty-fifth Report of Session 2019-21: ‘Managing Flood Risk’, dated 7 April 2021
Parliament page
1 Feb 2021
Correspondence from Sir James Bevan, Chief Executive, Environment Agency, re recent research into flood risk for deprived areas, dated 27 January 2021
Parliament page
1 Feb 2021
Correspondence from Tamara Finkelstein, Permanent Secretary, DEFRA, re regarding parish councils and their role in supporting flood and coastal erosion risk management locally, dated 27 January 2021
Parliament page