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My neighbour's house is subsiding: what should I do?

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UKUpdated 6 October 2026 · Written by BuyMeWhiskey Editorial Team · How we check facts

Talk to your neighbour about what their insurer has found, photograph and date any cracks in your own home, check your buildings policy's subsidence cover and excess, and tell your insurer as soon as you see damage rather than waiting or switching insurer.

Find your buildings insurance policy and check the subsidence section, its excess and what counts as the main building, then call your insurer if you've spotted any new cracks.

Read the ombudsman's subsidence guide

First, work out whether your home is affected

Your neighbour's subsidence is their insurer's problem until there's evidence it is affecting your property too. Subsidence is when the ground under a building sinks and pulls the foundations down with it. The Financial Ombudsman Service says it's usually caused by the soil losing moisture, often clay shrinkage in dry spells, tree roots drawing water out of the ground, or a long-term escape of water from leaking pipes or drains washing soil away.

Because the cause is often in the ground rather than in one house, homes next door can be affected, especially semi-detached and terraced houses that share a structure. Signs worth watching for include new or widening cracks, doors and windows that start to stick, and gaps opening around frames. Keep in mind that cracks don't automatically mean subsidence. The ombudsman lists other common causes, including normal settlement in a newer building, a failed lintel, poor workmanship and thermal movement, and many policies don't cover those.

How to approach it, step by step

Talk to your neighbour. Ask what their insurer has found: the suspected cause, whether a tree or drain is involved, and what repairs are planned. A friendly conversation now makes the later stages much easier.
Record your own property. Take dated photos of any cracks, with a ruler or coin for scale, and repeat every few weeks. That record helps show whether movement is new or seasonal.
Read your buildings policy. Most home policies cover subsidence, heave and landslip, often with a higher excess than other claims. Check what counts as the "main residence", because many policies don't cover patios, paths or sometimes garages unless the house itself is damaged.
Tell your insurer if you see damage. If you spot cracking or movement, contact your own insurer early rather than waiting. Investigations can take a long time, and the insurer will want to see how the damage develops.
Don't switch insurer on a whim. See the rules on changing insurers below.

What a proper investigation looks like

The ombudsman expects insurers to investigate thoroughly. That usually means digging trial holes to check the foundations and nearby drains, boreholes to sample the soil, video inspection of drains, and monitoring cracks to see whether the building is still moving and whether it's seasonal. Monitoring sometimes runs for a year so that every season is covered. Repairs should be "effective and lasting": not just filling cracks, but putting the damage right in a way that will last.

If you share a structure with your neighbour

In one ombudsman case, subsidence affected both halves of a semi-detached house. The insurer wanted to stabilise the foundations of the whole building, but the neighbour wouldn't cooperate. The ombudsman decided that the insurer had to use a more difficult and more expensive method that didn't need access to the neighbour's side. The lesson is that you're entitled to a proper repair under your own policy, even if next door won't engage. If work does go ahead near the boundary, the Party Wall Act may apply where someone digs below and near the foundation level of a neighbour's property.

Worked example

Sam's buildings policy renewed on 1 March. His neighbour's house has been confirmed as subsiding, and in spring Sam notices a crack above his own back door. Here is how the timing of his claim decides which insurer deals with it, under the Association of British Insurers' Domestic Subsidence Agreement as the ombudsman describes it (for insurers signed up to it):

If he had switched insurer on 1 March and claimed on 20 April, that's 31 + 19 = 50 days, about 7.1 weeks, which is within eight weeks. His previous insurer would deal with the claim.
If he claims on 1 August, about 5 months in, which is between eight weeks and a year, whichever insurer he tells first deals with it and the two share the cost.
If he claims one year or more after the policy started, the current insurer deals with it.

Sam hasn't switched, so his current insurer handles it either way. If he had switched without mentioning a subsidence problem he already knew about, the new insurer could cancel his policy. His policy has a subsidence excess, which he pays once on the claim. He keeps his dated crack photos and asks how long the insurer expects to monitor the movement before deciding on repairs.

Could my house be affected if my neighbour's house is subsiding?#

It can be, because the usual causes, such as shrinking clay, tree roots and leaking drains, sit in the ground, not in one building. Semi-detached and terraced homes are most exposed because they share a structure. Watch for new or widening cracks and sticking doors, and photograph them with dates.

Should I tell my insurer that my neighbour's house has subsidence?#

If you see damage to your own home, tell your insurer early. Whenever you buy, renew or change a policy, you have a legal duty to take reasonable care not to misrepresent anything to the insurer, so answer any questions about subsidence accurately. Ask the insurer if you're unsure what they need to know.

What if my neighbour's tree is causing the subsidence?#

Your insurer might ask a tree surgeon to cut the tree back, fit root barriers or have it removed. It can't force a neighbour to act without taking legal action. The ombudsman expects the insurer to talk to you first and pay for that action, or find another way to fix the problem.

Should I switch home insurer if my neighbour has subsidence?#

Think carefully first. Under the Domestic Subsidence Agreement, which insurer handles a claim depends on how soon after the new policy started you claim. A new insurer can cancel your policy if you knew about subsidence and didn't say.

Do I need my own loss adjuster for a subsidence claim?#

Not usually. Your insurer appoints and pays its own loss adjuster. You can appoint one to act for you at any time, but you normally pay their fee unless your policy has a claims preparation clause. Check that clause before you sign anything.

How long does a subsidence investigation take?#

It can take months. Insurers often monitor cracks to see whether movement is continuing or seasonal, sometimes for a year so every season is covered. Repairs normally wait until the cause is dealt with and the building is stable.

What can I do if my insurer handles my subsidence claim badly?#

Make a formal complaint to the insurer first. If you don't get a final response within eight weeks, or you're unhappy with it, you can take it to the Financial Ombudsman Service for free. It looks at whether the investigation was thorough and the repair is effective and lasting.

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Sources

Figures checked against these sources on 6 October 2026. If a rule changes, we update the page and its date.

General information, not personal financial advice. Rules depend on your circumstances; check the official source or speak to a regulated adviser before acting.