From 1st July the Council of Mortgage Lenders is integrated into a new trade association, UK Finance. For the time being, all UKF mortgage information will continue to be published on this website, and UKF member-only mortgage information will only be available here.

UK Finance represents around 300 firms in the UK providing credit, banking, markets and payment-related services. The new organisation takes on most of the activities previously carried out by the Asset Based Finance Association, the British Bankers’ Association, the Council of Mortgage Lenders, Financial Fraud Action UK, Payments UK and the UK Cards Association. Please go to www.ukfinance.org.uk for wider content and updates from UK Finance.

Last updated: 1 May 2015

At a glance

  • Asbestos is considered a problem if it is damaged and fibres are released and inhaled into the lungs. If the asbestos is in poor condition, or if building works are planned that would disturb it, then professional removal of asbestos is required.
  • Valuers carrying out a valuation for a mortgage lender would assume that there were no hazardous materials such as asbestos present at the property.  However if the inspection indicates to the valuer that asbestos is present the valuer would report this to the lender. 
  • Further information on asbestos can be found on the Health & Safety Executive website and RICS website.
  • Our consumer page on hazardous materials

Our position

Our view is that it is for individual lenders to decide what steps to take if asbestos is present at a property.  

Why asbestos matters to lenders

As a lender, you may want to know whether asbestos is present and if so whether it will affect the value of the property and/or whether it needs removal.

  • Your requirements on your valuer’s report  will determine what level of information you receive on asbestos.
  • Under the RICS Red Book Appendix 10 valuers are entitled to assume that “no deleterious or hazardous materials have been used in the construction”.  But “if the limited inspection indicates that there are such materials” then  “this must be reported and further instructions requested”.   
  • You can therefore reasonably assume that the presence of asbestos will be reported to you if a valuer identifies it. However given the nature of a residential mortgage valuation inspection you should not assume that the presence of asbestos will be identified by your valuer unless you vary these standard instructions.

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