The ABI wants tighter planning controls to stop new homes being built in the high-risk sections of the floodplain.
The ABI said that according to the Environment Agency (EA) there were serious loopholes in the planning system.
It said that:
·In some parts of England, the Environment Agency (EA) may be consulted on less than 60% of applications in the floodplain (according to EA research).
·At least 20% of proposals where the Agency sustains an objection are still approved by local authorities.
·The Agency is only informed of the final outcome in half the cases where it objects.
The ABI said the government should take action to address the EA's concerns.
It said:
·The Environment Agency should be consulted on all developments proposed in flood risk locations. They should also be informed of the outcome of all applications to which they have objected.
·Future flood risk, including climate change, should be used to prioritise locations for new housing, rather than current risk levels.
·Regional and local development plans should consider preventing large accumulations of developments in the floodplain.
