Ombudsman is urging ministers to use their powers to make all housebuilders sign up to the service
The New Homes Ombudsman Service is calling for participation in the scheme to become a legal requirement, emphasising that homeowners need greater protection from poor-quality housing.
The ombudsman service said that, in light of the government’s plan to build 1.5 million new homes over this parliament, ministers should use powers they already have to make it a legal requirement for all new housing developers to join the scheme.
The Building Safety Act 2022 included provisions to establish a New Homes Ombudsman Service that all housing developers would be required to join.
However, this has not yet been implemented, meaning the Ombudsman remains a voluntary service, established by the New Homes Quality Board which has already produced a New Homes Quality Code setting standards for new home builders to meet, including access to the ombudsman service.
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A survey of 2,000 UK adults conducted last year by the Chartered Institute of Building revealed that 32% of respondents considered new build housing to be ‘poor-quality,’ while 55% believed that older homes were better quality than new builds.
Only 21% felt that new homes were better quality.
In its first annual report since being formed in October 2022, the New Homes Ombudsman reports that 90 of the largest developer groups in Great Britain have joined the service, accounting for just over half (55%) of all new homes sold in England, Scotland and Wales.
A further 91 developers are in the process of joining, which would increase coverage to 65-70% of all new homes sold.
However, the Ombudsman warns that the service currently does not cover most small and medium-sized developers.
Jodi Berg OBE, chair of the New Homes Ombudsman Service, said: “While we’ve made significant strides in our first year, it is crucial that all homeowners receive equal protection against poor-quality new housing.
“As the Government implements its ambitious house building plans, ensuring all developers join the Ombudsman service is essential. Without this, too many people will be left without the help they need.”
A spokesperson for the Home Builders Federation said: “Build quality and customer care are priorities for builders and, as the CMA recognised in its recent report, the quality of new homes has improved in recent years and customer satisfaction levels are extremely high compared with other sectors.”
In addition, he said that since the New Homes Quality Code and New Homes Ombudsman launched, that the majority of the industry has voluntarily signed up ”to offer their customers increased, independent protection from the moment they enter the sales office to two years after they pick up their keys.”
The spokesperson added: ”We fully support the CMA’s recommendation for a single mandatory industry consumer code and the provision of access to the new homes ombudsman for all customers that will lead to further increases in quality and service standards across the board.”
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