We are working very closely with the Association of British Insurers on the new scheme, which will replace the statement of principles, and we are looking in detail at a range of different options. We do not propose to extend the scheme to post-2009 properties.

We are working very closely with the Association of British Insurers on the new scheme, which will replace the statement of principles, and we are looking in detail at a range of different options. We do not propose to extend the scheme to post-2009 properties.

We are at an advanced stage in negotiations with insurers towards producing a successor to the statement of principles. Today, the Association of British Insurers has written to say that insurers will continue to abide by the current agreement for a month beyond the end of June to allow further time for the outstanding issues to be concluded. I am placing a copy of the letter in the Library of the House. We are aiming to conclude negotiations as soon as possible to ensure that households can continue to access affordable flood insurance.

We are at an advanced stage in negotiations with insurers towards producing a successor to the statement of principles. Today, the Association of British Insurers has written to say that insurers will continue to abide by the current agreement for a month beyond the end of June to allow further time for the outstanding issues to be concluded. I am placing a copy of the letter in the Library of the House. We are aiming to conclude negotiations as soon as possible to ensure that households can continue to access affordable flood insurance.

The current arrangements are not guaranteed to hold premiums down. We are seeking an arrangement that will last well into the future, will deliver affordability and comprehensiveness, and will not impose a huge burden on the taxpayer. The hon. Lady may wish to pop into the Library, or, if she comes to see me later, I will give her a copy of the letter from the ABI. She will see that the tone of the letter demonstrates that we are very close to an agreement, although there are still some important issues to be resolved.

The current arrangements are not guaranteed to hold premiums down. We are seeking an arrangement that will last well into the future, will deliver affordability and comprehensiveness, and will not impose a huge burden on the taxpayer. The hon. Lady may wish to pop into the Library, or, if she comes to see me later, I will give her a copy of the letter from the ABI. She will see that the tone of the letter demonstrates that we are very close to an agreement, although there are still some important issues to be resolved.

Having seen the floods in Exeter, I know that this is a key issue there. I hope that the right hon. Gentleman will welcome the new schemes, which will be of great benefit to many thousands of his constituents. I cannot negotiate with him on the Floor of the House, but we are fully aware that a great many people are vulnerable to increases in premiums, and we view this as a real priority. I think that the fact that the ABI has told us that only one month is needed for us to conclude our important discussions shows how close we are to an agreement.

Having seen the floods in Exeter, I know that this is a key issue there. I hope that the right hon. Gentleman will welcome the new schemes, which will be of great benefit to many thousands of his constituents. I cannot negotiate with him on the Floor of the House, but we are fully aware that a great many people are vulnerable to increases in premiums, and we view this as a real priority. I think that the fact that the ABI has told us that only one month is needed for us to conclude our important discussions shows how close we are to an agreement.

As my hon. Friend—who chairs the Environment, Food and Rural Affairs Committee—is aware, we will be presenting a water Bill in the summer, and we shall have an opportunity to include clauses that will lead to the legislation that is required. We are convinced that, whatever happens, there will have to be some form of legislation to ensure that the arrangement is comprehensive. The detail to which my hon. Friend refers will be dealt with in the negotiations.

As my hon. Friend—who chairs the Environment, Food and Rural Affairs Committee—is aware, we will be presenting a water Bill in the summer, and we shall have an opportunity to include clauses that will lead to the legislation that is required. We are convinced that, whatever happens, there will have to be some form of legislation to ensure that the arrangement is comprehensive. The detail to which my hon. Friend refers will be dealt with in the negotiations.

Having visited my hon. Friend’s constituency during the floods, I am fully aware of the importance of the issue to her constituents, but it is a complex issue. We are trying to find a long-term solution, and to sort out the conundrum of affordability, comprehensiveness, and not imposing a long-term burden on the taxpayer. I pay tribute to the ABI for the constructive manner in which it has engaged in the regular meetings and discussions that have taken place. We are not quite there yet, but I hope to be able to come to the House soon to announce a resolution of the problems.

Having visited my hon. Friend’s constituency during the floods, I am fully aware of the importance of the issue to her constituents, but it is a complex issue. We are trying to find a long-term solution, and to sort out the conundrum of affordability, comprehensiveness, and not imposing a long-term burden on the taxpayer. I pay tribute to the ABI for the constructive manner in which it has engaged in the regular meetings and discussions that have taken place. We are not quite there yet, but I hope to be able to come to the House soon to announce a resolution of the problems.

We have begun preliminary investigations of the prospects of long-term flooding. As the hon. Gentleman knows, there is a possibility of major construction projects which may help.

We have begun preliminary investigations of the prospects of long-term flooding. As the hon. Gentleman knows, there is a possibility of major construction projects which may help.

I shall be brief, Mr. Speaker. My hon. Friend has raised a very important point. I think that the Environment Agency has a role to play in clearing major waterways, but I am also talking to the agency about speeding up the ability of landowners to look after low-risk waterways, where there is also a problem in rural areas.

I shall be brief, Mr. Speaker. My hon. Friend has raised a very important point. I think that the Environment Agency has a role to play in clearing major waterways, but I am also talking to the agency about speeding up the ability of landowners to look after low-risk waterways, where there is also a problem in rural areas.

That is a glorious question, because the hon. Gentleman could not be more wrong. He describes the problem with the existing system left because of the incompetence of the Labour Government, who made such a mess for 13 years. We are trying to bring forward a better system that will deliver affordability to some of our most vulnerable citizens. We will deliver; they didn’t.

That is a glorious question, because the hon. Gentleman could not be more wrong. He describes the problem with the existing system left because of the incompetence of the Labour Government, who made such a mess for 13 years. We are trying to bring forward a better system that will deliver affordability to some of our most vulnerable citizens. We will deliver; they didn’t.

That is complete nonsense. The Chief Secretary and senior Ministers are all working closely together on this issue. I am sorry that we may have nearly shot the Labour party’s fox. We are working closely with the Association of British Insurers and we will deliver a good deal.

That is complete nonsense. The Chief Secretary and senior Ministers are all working closely together on this issue. I am sorry that we may have nearly shot the Labour party’s fox. We are working closely with the Association of British Insurers and we will deliver a good deal.

I think I made it clear to the hon. Member for Luton South (Gavin Shuker) that we want to get this right, but I am not going to place an artificial deadline on it. All of us, including the hon. Lady’s party, knew that the current arrangements would end in 2013. I repeat that we want to improve on those arrangements, and that it does not help when people make out, in the middle of negotiations, that the talks are foundering or in trouble. We are working very closely with the insurers, and we intend to secure a good deal for those whose houses are at risk of flooding.

I think I made it clear to the hon. Member for Luton South (Gavin Shuker) that we want to get this right, but I am not going to place an artificial deadline on it. All of us, including the hon. Lady’s party, knew that the current arrangements would end in 2013. I repeat that we want to improve on those arrangements, and that it does not help when people make out, in the middle of negotiations, that the talks are foundering or in trouble. We are working very closely with the insurers, and we intend to secure a good deal for those whose houses are at risk of flooding.

I would like to reassure the hon. Gentleman—this is about the fourth or fifth time during these questions—that we are looking for a good, long-term deal that gives reassurance to his constituents who are worried about flooding, that is as comprehensive as possible and that is satisfactory to the taxpayer. We are working extremely closely with colleagues in the Treasury and the Cabinet Office, and we will come to a better arrangement than his Government left behind.

I would like to reassure the hon. Gentleman—this is about the fourth or fifth time during these questions—that we are looking for a good, long-term deal that gives reassurance to his constituents who are worried about flooding, that is as comprehensive as possible and that is satisfactory to the taxpayer. We are working extremely closely with colleagues in the Treasury and the Cabinet Office, and we will come to a better arrangement than his Government left behind.

The availability and affordability of insurance in flood-risk areas is an important issue for this Government. We are in intense yet constructive negotiations with the insurance industry on a range of approaches that could succeed the current statement of principles. In the meantime, the Government are continuing to invest in managing the risk of flooding. We are on course to exceed our target to provide better protection to 145,000 households by March 2015.

The availability and affordability of insurance in flood-risk areas is an important issue for this Government. We are in intense yet constructive negotiations with the insurance industry on a range of approaches that could succeed the current statement of principles. In the meantime, the Government are continuing to invest in managing the risk of flooding. We are on course to exceed our target to provide better protection to 145,000 households by March 2015.

I am sorry the hon. Lady is disappointed. Within two days of taking office I had a meeting with Otto Thoresen, the head of the Association of British Insurers. We are in engaged in detailed discussions, which I obviously cannot reveal, because we do not negotiate in public. However, I reassure the hon. Lady that the Government take this matter very seriously. We know that the statement of principles runs out next year and that it must be replaced—I hope by something that is more comprehensive and effective.

I am sorry the hon. Lady is disappointed. Within two days of taking office I had a meeting with Otto Thoresen, the head of the Association of British Insurers. We are in engaged in detailed discussions, which I obviously cannot reveal, because we do not negotiate in public. However, I reassure the hon. Lady that the Government take this matter very seriously. We know that the statement of principles runs out next year and that it must be replaced—I hope by something that is more comprehensive and effective.

I thank my hon. Friend for that question. She is aware that it was agreed in the national planning policy framework that there would be no more building on floodplains. She is quite right that it is absolutely idiotic to build houses in such inappropriate places. However, I reassure her, too, that the Government take this matter seriously. We want to find a solution that follows from the statement of principles, but that is better and more comprehensive.

I thank my hon. Friend for that question. She is aware that it was agreed in the national planning policy framework that there would be no more building on floodplains. She is quite right that it is absolutely idiotic to build houses in such inappropriate places. However, I reassure her, too, that the Government take this matter seriously. We want to find a solution that follows from the statement of principles, but that is better and more comprehensive.

I thank the hon. Gentleman for welcoming me to my new post.

We are spending £2.17 billion on flood defences. I have visited Nottingham and was in Northwich recently, and there is real value in these schemes, which is why, despite the difficult financial circumstances we inherited from the last Government, these schemes saw only a 6% reduction. They are really good value.

I thank the hon. Gentleman for welcoming me to my new post.

We are spending £2.17 billion on flood defences. I have visited Nottingham and was in Northwich recently, and there is real value in these schemes, which is why, despite the difficult financial circumstances we inherited from the last Government, these schemes saw only a 6% reduction. They are really good value.

I would like to reassure my hon. Friend emphatically that we are determined to arrive at a solution to this problem that—I repeat—provides availability and affordability to those who might suffer from floods.

I would like to reassure my hon. Friend emphatically that we are determined to arrive at a solution to this problem that—I repeat—provides availability and affordability to those who might suffer from floods.

The hon. Gentleman makes a highly pertinent point. The statement of principles is not working at present, and affordability is a key part of that. I have meetings coming up shortly with the Association of British Insurers and I will establish its latest figures, but we want to resolve this: we are determined to get to the bottom of it, because I totally sympathise with people such as the hon. Gentleman’s constituent.

The hon. Gentleman makes a highly pertinent point. The statement of principles is not working at present, and affordability is a key part of that. I have meetings coming up shortly with the Association of British Insurers and I will establish its latest figures, but we want to resolve this: we are determined to get to the bottom of it, because I totally sympathise with people such as the hon. Gentleman’s constituent.