New misinformation risks confusion for new-build home buyers and builders

News
We were disappointed to read reports quoting the New Homes Ombudsman stating that where builders are not signed up to their scheme, people will be left without the help they need. As our members know, this is not the case.
The Ombudsman scheme is just one of several alternative dispute resolution (ADR) schemes operating in the new build homes market. Other code schemes, including ours, offer very similar protection. Compliance with our Code is mandatory for builders operating under the UK’s four leading warranty providers, NHBC, LABC Warranty, Premier Guarantee and Checkmate (Lockton Companies LLP) (unless builders opt to join a different code scheme). One of the strengths of our Code is that we do not charge a fee to builders – it is covered as part of your warranty subscription fee. This creates an important distinction between those required to comply with the Code and those operating and governing it. Our Code is also independently approved by the CTSI’s Approved Code Scheme.
We are confident that home buyers covered by our Code are appropriately supported and have access to an Independent Dispute Resolution Scheme. This is run by the Centre for Independent Dispute Resolution (CEDR) which works in a very similar way to an ombudsman. There is therefore no requirement for builders already complying with our Code to join a new scheme. Builders are free to choose which scheme they comply with, subject to any restrictions applied by their warranty provider.
Room for improvement
We firmly believe quality needs to be at the heart of government plans to accelerate new housing, and this has to be considered alongside the resource and materials pressures facing the industry. But this requires more than codes of conduct to achieve. Although our Code requires builders to confirm homes meet the UK Building Regulations and the relevant home Warranty Body’s standards, ombudsman and ADR adjudicators are not technical experts and cannot assess whether quality standards have been met.
In our discussions with government representatives, we are calling for enhancements in consumer protection to go hand-in-hand with improvements in building inspection and control, and a consistently high standard of warranty cover.