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The Office of Fair Trading (OFT) published its report on Homebuilding in the UK on 25 September 2008.
OFT found little evidence of competition problems in the delivery of new homes in the UK. However, the OFT found that homebuyers can experience a number of problems, including delays in moving in, faults in new homes and various issues around the sales process. It concluded that homebuyers need more protection when buying a new home and as a result, representatives from across the industry have agreed to form a body to deliver a code of conduct and redress scheme for consumers. The industry aims to have this fully operational by March 2010.
The OFT made four recommendations to Government, of which the main one is new regulation if the industry fails to deliver its own code of conduct. The others are in relation to the timing of the payment of the proposed Community Infrastructure Levy (CIL); assistance for small homebuilders and self-builders to access the necessary technologies to overcome the zero carbon challenge and; consideration by Local Authorities of whether land within their portfolio could be used for enabled self-building.
A Government response was published on 23 March 2009.
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