Amanda Blanc, chief executive of insurance provider Aviva, has cautioned that current residential construction patterns are creating future insurability challenges. She highlighted that approximately 115,000 new homes are projected to be built in flood-prone areas over the next decade, a trend she characterized as problematic given well-documented flood risk zones in England.
According to Aviva research, the scale of the challenge is significant. One in nine homes constructed between 2022 and 2024 face medium to high flood risk, with projections suggesting that nearly a third of new homes built in 2024 will experience some flooding risk by 2050. The Environment Agency estimates that 6.3 million homes and businesses in England currently face flooding threats. Blanc emphasized that building in or near flood zones requires careful consideration and that property modifications can reduce vulnerability to flood damage.
Blanc called for more thoughtful planning decisions around residential development locations, noting that flood risk areas are well-established and should inform construction decisions. She also flagged that development bordering flood zones necessitates different construction approaches than standard building practices.
In response, the Department for Environment, Food and Rural Affairs noted its investments in flood protection for hundreds of thousands of properties and stated that planning proposals will help prevent housebuilding in flood-risk areas while supporting a target of 1.5 million new homes. The government’s flooding protection measures represent billions of pounds in investment aimed at safeguarding properties from damage.
Blanc also addressed broader economic policy concerns during the interview, urging the government to avoid speculative policy announcements ahead of the Chancellor’s Budget on 28 October, citing negative effects on pension withdrawals and investment decisions. She indicated Aviva’s readiness to invest significant capital in UK infrastructure if policy clarity improves.
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