The UK’s Flood Re will cut low-income households’ premiums and introduce mitigation performance certificates as the scheme marks its 10th anniversary and looks to accelerate resilience action before its planned conclusion. 

The premium Flood Re charges insurers for policies will drop to £25 ($48.04) from £52 ($99.93) from next April for contents-only policies in certain council tax bands.

The scheme will also pilot flood performance certificates, linked to premium discounts, to help homeowners understand and manage their risk while supporting insurance pricing that recognises resilience investments. 

The Build Back Better program – which provides up to £10,000 ($19,216) of resilience measures as part of repairs – will be strengthened by incentivising insurers with a lower cap on claims when it is not offered. 

The Flood Re scheme, a joint initiative between the government and insurers, has benefited more than 742,000 households over the past decade. The program was designed as a temporary measure and is due to end in 2039. 

Chair Bridget Rosewell says it is vital that support remains focused on those who need it most, while climate change means the scheme must drive further resilience action. 

“Through measures such as flood performance certificates and Build Back Better, we are helping households become more resilient before flooding happens – supporting a stronger, more sustainable flood insurance market for the future,” she said. 

International Property Flood Resilience Association representative Graham Brogden says the certificates help to recognise and incentivise action to improve property-level resilience.