Building Safety Act 2022: What To Expect In 2026 - Levy, BSR Reform, Second Staircases And Remediation Bill

• Published date: 23 December 2025
• Subject Matter: Litigation, Mediation & Arbitration, Real Estate and Construction, Trials & Appeals & Compensation, Construction & Planning, Real Estate
• Law Firm: Gowling WLG
• Author: Jessica Tresham, Gemma Whittaker, Danielle Klepping and Emma Knight

The Building Safety Act 2022 (BSA) and its related legislation have already transformed the regulatory landscape for the construction and living sectors, but the pace of change is far from slowing and 2026 is shaping up to be another pivotal year for building safety. From a new levy on residential developments to structural reforms in regulation and enforcement, stakeholders across the living sector - developers, freeholders, leaseholders, housing associations, property managers, and occupiers - must prepare for a year of significant developments.

The Grenfell tragedy continues to cast a long shadow over the industry, and the Government's commitment to implementing the Grenfell Tower Inquiry's recommendations is driving systemic change. Against this backdrop, here's what you need to know about the key developments expected in 2026 and what they mean for you.

Headline developments for 2026

Building Safety Levy - a new tax on residential developments

The Building Safety Levy is due to come into force in England on 1 October 2026, following a one-year postponement. Its purpose is clear: to raise '3.4 billion over ten years to fund remediation of unsafe buildings. The levy is not just payable on higher-risk buildings but will apply to all new dwellings (subject to certain exceptions and thresholds).

Key features:

• Will apply to most new residential developments (of 10 dwellings or more), including Build-to-Rent schemes and purpose-built student accommodation (PBSA threshold: 30 bedspaces) Hot off the press is a new Government consultation published on 16 December 2025, seeking views on revisions to the National Planning Policy Framework. This proposes to extend the current threshold to 50 or more dwellings / 120 bedspaces for PBSA. The consultation closes on 10 March 2026.
• Exemptions for social and supported housing, anything developed by "exempt persons" (defined as non-profit registered providers of social housing and their wholly owned subsidiaries) and other asset classes including hotels, children's homes domestic abuse shelters, criminal justice and military accommodation, and care / nursing homes.
• 50% discount for "previously developed sites".

Practical takeaway: With the regulations implementing the Levy now in final form, and detailed guidance available, developers and stakeholders must prepare for its implementation and start considering its implications in planning and financial models. It is likely that there will be a surge in building control applications in the first three quarters of 2026, as developers seek to avoid levy liability.

Call-in of Building Assessment Certificates (BACs) by the BSR continues

Building Assessment Certificates (BACs) are issued by the Building Safety Regulator (BSR) to demonstrate its satisfaction that the principal accountable person (PAP) for a high-rise residential building is meeting its legal duties under the BSA. The process of issuing BACs will take some time and the BSR is calling in buildings in priority order. Currently - as noted in the BSR's Building Assessment Certificate guidance which was updated in June 2025 - it is working its way through buildings which meet one of the criteria below:

• over 30 metres high with more than 11 residential units
• 18 to 29.99 metres high with more than 378 residential units
• clad with combustible aluminium composite material
• with large panel systems built between 1957 and 1973 with a gas supply, and it is unclear if reinforcement work has been carried out.

Why it matters:

• The PAP for a high-rise residential building must apply for a BAC within 28 days of being directed to do so by the BSR.
• However, PAPs should ensure that their house is in order as soon as they become responsible for the...