A NEW government fund to replace flammable panels on privately owned tower blocks has been branded a “cladding lottery” that leaves many tenants “helpless” by campaigners.

Tory Housing, Communities and Local Government Secretary James Brokenshire unveiled a £200 million refurbishment pot today, nearly two years after the Grenfell blaze claimed 72 lives.

He said the fund will cover the replacement of aluminium composite material (ACM) cladding, the same type used at Grenfell, on 166 tower blocks across Britain.

However, the money will not help residents in high-rise buildings wrapped in non-ACM cladding, which in some cases can also pose serious fire risks.

Manchester Cladiators called the government’s announcement “unsatisfactory” and warned it would still leave many private-sector residents “helpless.”

The group said that in seven tower blocks across Manchester, leaseholders face crippling bills to replace non-ACM cladding that was installed by developers.

Manchester Cladiators co-founder Sam Cole vowed to fight on, warning:

“Many Manchester residents with similar problems to us are also unlikely to benefit from this fund.”

One of the group’s supporters, Labour councillor Suzanne Richards, said: “We do not differentiate between residents with Grenfell-style ACM cladding and other fire issues and strongly believe the government should provide funding for all affected residents.

“It is simply unacceptable that some residents have won the ‘cladding lottery’ and others are left facing stress and life changing bills of up to £80,000 each.”

She promised: “The council will continue to give its full support to Manchester Cladiators until every affected Manchester resident feels safe in their homes.”

Amy Du Quesne and James Oates, a couple living in Skyline Central 1 in Manchester’s Northern Quarter, are also sceptical of the fund.

“This announcement changes nothing for us”, they said. “We are still fearful for our safety and financial futures.

“Until the government recognises that people living with fire issues in non-ACM clad blocks are just as much at risk as the residents of Grenfell Tower, we will continue our fight to make our homes safe.”

John Healey MP, Labour’s shadow housing secretary, said it was “astonishing that it has taken ministers almost two years to act.”

He demanded the government now “toughen the sanctions to get this work done and set a deadline to make all blocks safe.”

Labour claimed that 80 per cent of tower blocks with Grenfell-style cladding still have not had it replaced nearly two years after the tragedy, leaving 345 high-rise buildings at risk.

However Mr Brokenshire defended the Tories’ response.

“The government has already fully funded this work in social housing developments,” he said. “However, private developers and freeholders have been too slow to act and leaseholders have been threatened with significant, often unaffordable, costs resulting in delays.

“If these reckless building owners won’t act, the government will.”