....The DNO says they can't remove the cladding and we need to request the contractor to come back to remove so that they can inspect.
The contractor is coming back to remove.
If the contractor has agreed to come back and remove the cladding, and assuming you also have documentation (e.g. invoice) for the original work, I would think it would be extremely difficult for him to 'deny all knowledge' of the incident - so attributing the blame (and financial liability)to him may well not be a problem.
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