Britain’s flood pool may not be ready to begin operations at its proposed start date of June next year, according to UK media reports.

Flood Re aims to ensure cover is widely affordable and available, by subsidising insurance on high-risk homes.

It will be a mutual owned by insurers, who will pass the flood risk component of the premium to the fund, which will buy reinsurance. Insurers will also handle claims and policyholders will fund the scheme by paying a levy of about £10.50 ($19.80) on home insurance.

Flood Re will not subsidise premiums on high-risk homes built after 2009 – to discourage further development in flood-prone areas – or expensive riverside property.

UK insurers are not required to offer flood cover to new customers, which has raised concerns about insurance being unaffordable and at-risk homes becoming difficult to sell. Reports suggest the scheme’s complexity makes the start date unlikely.

Flooding in the UK in December and last month brought the issue into focus, with the Association of British Insurers estimating an insured loss of £426 million ($804.18 million) from 174,000 claims.