Housing: Construction

Communities and Local Government written question – answered on 25th February 2014.

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Photo of Geoffrey Cox Geoffrey Cox Conservative, Torridge and West Devon

To ask the Secretary of State for Communities and Local Government

(1) what assessment he has made of the Consumer Code for Homebuilders;

(2) what his policy is on the introduction of a statutory redress mechanism for new homebuyers.

Photo of Kris Hopkins Kris Hopkins The Parliamentary Under-Secretary of State for Communities and Local Government

The Consumer Code for Homebuilders (the Code), is an industry led scheme which gives protection and rights to purchasers of new homes, ensuring that new homebuyers are treated fairly and are fully informed about their purchase.

The Code applies to all homebuyers who reserve to buy a new or newly converted home, on or after 1 April 2010, built by a home builder registered with one of the supporting warranty bodies. It also offers an independent dispute resolution scheme that determines a builder's responsibilities without the consumer having to take legal action.

Its Management Board publishes a report on an annual basis setting out progress and future plans for ensuring that consumers continue to be well-protected. The reports are available on the Consumer Code for Homebuilders' web-site.

It is right that industry is taking a lead on this and I am pleased that the industry-led work to further increase the impact of the Code is being progressed.

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