“Future scandal waiting to happen” as new homes not protected under the Flood Re scheme
Image description: Home standing in flood water. Photo by Helena Jankovičová Kováčová / Pexels.
One in nine new homes built in England between 2022 and 2024 were constructed in areas at risk of flooding, according to insurer Aviva. Representing an increase from one in 13 between 2013 and 2022, these new findings are raising significant concerns as the government pursues 1.5 million new homes this parliament.
Data published by Aviva reveals that of 396,602 new homes recorded by Ordnance Survey in England between 2022 and 2024, 43,937 are in areas of medium or high flood risk, while 26% of new homes face some flooding risk. By 2050, projections show 15% of these homes will face medium or high flood risk and 30% will face some risk as climate breakdown intensifies extreme rainfall.
Exclusion from flood insurance represents a “scandal waiting to happen”
Greater London and Essex have the highest proportion of new at-risk properties at 32%, followed by Lincolnshire, East Yorkshire, the west and north-west at 13%. The east of England has the lowest proportion at 2%.
Critically, homes built since 2009 are excluded from the government-backed Flood Re reinsurance scheme, which ensures affordable and accessible flood insurance for homeowners. This leaves occupants of new builds in flood-prone areas particularly vulnerable, with some towns already being abandoned as residents cannot obtain flood insurance.
Emma Howard Boyd, former Environment Agency chair who advises Aviva on climate policy, warned the government’s housing targets could create pressure to build in high-risk areas: “We don’t want to be building today’s houses in places where they will become ever more at risk of flooding. Defra and the Ministry for Housing need to be working close together to make sure our housing targets aren’t preventing what we know is needed to protect future and existing homes.”
Aviva also warns that the new homes being built in flood risk areas are not eligible for the Flood Re scheme to make insurance affordable and accessible for households living in high-risk areas.
Homes built since 2009 are excluded from Flood Re, to prevent building in flood risk areas.
Soaring flood claims
The data coincides with the Association of British Insurers reporting domestic flood claims costs rose 38% in 2025 to £312 million, while average flood payouts to homeowners jumped 60% to £30,000. Overall, insurers paid £1.2 billion in weather-related property claims across 2025 – a 14% increase on 2024.
Some areas already face abandonment – occupants of a terrace in Ynysybwl, Wales, are having homes bought by the council due to constant flooding, while Tenbury Wells residents are slowly abandoning the town as they cannot obtain flood insurance.
Calls for planning reform
Aviva is calling for strengthened planning regulations including a presumption against new developments in high-risk areas and mandatory flood resilience measures in building regulations for new homes at risk, particularly in areas with prevalent surface water flooding which is more difficult to predict and protect against.
A government spokesperson disputed the analysis: “These figures are misleading as the research doesn’t even factor in flood defences in place. We will build 1.5m homes without compromising on safety, and our planning proposals will ensure that development should not go ahead where it would be unsafe due to flood risk. This is alongside investing a record £10.5bn for flood projects, which will benefit nearly 900,000 properties by 2036.”
However, Aviva in return defended their analysis, stating it does factor in existing flood defences.