More than 900 people affected by the Grenfell Tower fire – including the bereaved and those forced from their homes – have agreed a civil settlement with several companies including contractor Rydon and public sector bodies.
The settlement, worth £150m according to ITV News, was reached after a claim lodged at the High Court in 2021 was settled confidentially out of court through a process known as an alternative dispute resolution. Rydon, the main contractor for the re-cladding of Grenfell Tower, was party to the settlement.
The settlement does not have any impact on the Grenfell Tower Inquiry, which is due to issue a report later this year. Nor does it have any bearing on potential criminal action over the June 2017 blaze, as lawyers expect the Crown Prosecution Service to announce a decision after the report is released.
Rydon confirmed to CN that it was a party to the civil settlement this week.
A spokesperson for the firm aid: “Following productive and cooperative engagement between the parties, settlement terms have been agreed with the vast majority of those affected without the need for a prolonged legal process.
“Rydon continues to express its deepest sympathy to the Grenfell residents and their families.”
In a statement on the civil case sent to Construction News, Arconic, which supplied cladding for the Grenfell refurbishment, acknowledged it was part of the settlement and said it had also agreed to “contribute to a restorative justice project to benefit the community affected by the fire”.
A company spokesperson added: “Arconic continues to express its deepest sympathy to the Grenfell residents and their families, and appreciates the importance of this milestone for providing a resolution that lessens the delay and stress to claimants that would result from protracted legal proceedings.”
Celotex, whose RS5000 insulation product was used in the tower, also confirmed it was a party to the settlement.
A spokesperson for the firm, owned by materials conglomerate Saint-Gobain, said it welcomes the conclusion of the process, adding: “Celotex and the Saint-Gobain Group reaffirm their deepest sympathies to everyone affected by the fire.”
Rydon, which was the main contractor on the refurbishment of the tower, pointed the finger at manufacturers during the inquiry. Separate hearings heard claims that the contractor had discussed how to cut costs on the refurbishment with its client, the Kensington and Chelsea Tenant Management Organisation (KCTMO), before it was officially awarded the job.
A spokesperson for the KCTMO said it was pleased that the settlement had been reached, noting: “We recognise that a monetary settlement won’t mitigate for the loss and trauma, but both the settlement and the restorative justice process is a welcome step forward.”
In a statement released through the PA News Agency, lawyers representing the bereaved, survivors and local residents bringing the claim said that “their fight for justice continues”.
They added: “It should be recognised that no amount of damages could ever be sufficient to properly compensate those affected by the fire.”
In total, 72 people died in the 2017 blaze at the west London tower, which had been refurbished in 2015-16 and was clad in combustible aluminium composite material panels.
Last year, at the conclusion of the public inquiry into the disaster, a lawyer representing the bereaved, survivors and local residents slammed manufacturers and regulators for their actions. Danny Friedman accused cladding manufacturers Arconic, Celotex and Kingspan of trying to “game the system” by placing unsafe products on the market, and he attacked regulators for failing to stand up to those companies.
Arconic responded that it had been “unfairly scapegoated” over the tragedy. Celotex had earlier said there was no evidence to prove it misled the construction industry. Kingspan said it had correctly explained that its K15 insulation could only be used on projects like Grenfell Tower if additional tests were undertaken, with decisions on its use a matter for others.
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Ian Weinfass