Landlords face huge cannabis farm bills

Landlords whose properties are turned into cannabis farms can face repair bills running into hundreds of thousands of pounds, an insurer has warned.

Zurich UK has investigated 17 cannabis farm-related claims worth a combined £9.4 million since January 2022.

Damage has included dangerous electrical alterations, water from irrigation systems, damp, mould and structural changes made to conceal growing operations.

Properties can also be left unusable for months while extensive reinstatement work is carried out.

Damage goes beyond fires

Stewart Powell, the firm’s regional major loss lead, said: “For many landlords the full impact only becomes apparent once a cannabis farm has been uncovered and the extent of the damage becomes clear.

“While the fire risk associated with these operations is well known, fire is often only one part of a much larger problem.”

He added: “We’ve seen claims involving dangerous electrical alterations, extensive water damage from irrigation systems, widespread damp and mould, and significant structural changes made to conceal growing operations.

“By the time a property is recovered, landlords can be left facing months of disruption, substantial reinstatement work and repair bills running into hundreds of thousands of pounds before a building can be safely occupied again.”

Gangs target commercial units

Zurich says organised criminal groups are increasingly targeting empty shops, offices and retail premises, sometimes presenting what appears to be a legitimate business operation.

Its warning comes as fire and rescue service attendances at suspected or identified cannabis farms rose from 17 in 2015 to a record 54 in 2024.

There were another 50 attendances in 2025, according to freedom of information responses obtained from 21 fire and rescue services.

Home Office analysis cited by Zurich also identified 640 cannabis farm fires across the UK between 2019 and 2024.

Landlords urged to check

Scott Clayton, the insurer’s head of claims, said: “Many landlords still picture cannabis farms operating in remote industrial estates or hidden warehouses.

“These operations can involve sophisticated attempts to present a legitimate business front, making it difficult for landlords to spot the warning signs until significant damage has already been done.”

He added: “Robust due diligence, regular inspections and a willingness to question unusual behaviour remain some of the most effective ways landlords can protect themselves from a growing and costly threat.”