BELLWAY may have to cough up an extra £320m to fix unsafe cladding.

Bellway said it had provided an additional £22.1m, before recoveries of £2.5m, to help fix historical fire safety issues, in interim results.

In total, since 2017, the developer had provided some £186.8m, after looking back 10-12 years, it said.

Analysts at Investec said "uncertainty around cladding and fire safety issues" remained with the developer.

Bellway confirmed that a significant additional provision would be required if it has to look back on a 30-year basis, rather than 10-12 years as it has done already.

Investec analysts estimated that this could mean an additional provision, which would be up to nine per cent of net assets.

Eyes have been on developers with a looming government deadline to formulate a plan on how housebuilders will contribute billions to fix building fire safety issues including dangerous cladding.

(c) 2022 City A.M., source Newspaper