A UK Government minister has given up responsibilities over building safety after attending a conference sponsored by a firm implicated in the Grenfell Tower disaster.

Rushanara Ali, who remains a Labour minister for homelessness, said she had relinquished her building safety responsibilities because “perception matters”.

Grenfell United, which represents some of the survivors and bereaved families of the disaster, had reportedly expressed concern about Ali’s regular attendance at the Franco-British Colloque, an annual conference involving politicians, civil servants and businesses from both countries.

The event had at the time been co-chaired by Pierre-Andre de Chalendar, chief executive and chairman of French company Saint Gobain, which also sponsored the event.

Until this year, Saint Gobain was the ultimate owner of insulation firm Celotex, which made the majority of insulation boards in the flammable cladding on Grenfell Tower.

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The Grenfell Inquiry’s final report said Celotex had “embarked on a dishonest scheme to mislead its customers and the wider market” about the fire resistance offered by its products.

In its response, Celotex said it had “reviewed and improved process controls, quality management and the approach to marketing within the Celotex business to meet industry best practice”.

Ali said she had urged the Collque’s organisers to cut ties with Saint Gobain, one of several businesses to sponsor the event, which she attended on a number of occasions, most recently in January this year.

In a statement confirming her change of role, Ali said: “Trusted relationships between ministers and the Grenfell community are essential for this department. Before I became a minister, I called for the French delegation of the Franco-British Colloque to cut ties with Saint Gobain. But I understand that perception matters and I have therefore concluded that the building safety portfolio would be best transferred to another minister.

“Our goals of making buildings safe and preventing another tragedy continue to be very important issues for me, and the Deputy Prime Minister and the rest of the ministerial team have my full support in delivering on this work.”

It is understood that De Chalendar has now stepped down as co-chairman of the event and Saint Gobain will not be involved in future conferences.