Reflecting on Two Years of the New Homes Quality Board

Two years have passed since the inception of the New Homes Quality Board (NHQB), an independent body formed 'to drive up the quality of new build homes and strengthen protections for customers.'

In this blog, we look back on the NHQB’s journey so far to learn about their achievements in upholding quality standards in new build homes and enhancing consumer protection.

History of the NHQB

The NHQB was created out of the belief that the new homes sector needed higher levels of regulation regarding the quality of construction of new homes.  It also aims to ensure greater transparency about the buying process from homebuilders, in order to safeguard the interests of buyers and homeowners.

Implementation of the NHQB

The NHQB introduced the New Homes Quality Code (otherwise known as the NHQC or ‘the Code’) to provide a comprehensive framework of rules and standards that registered developers must adhere to throughout the buying journey, from reservation to completion and beyond.

The NHQB has grown significantly since its inception, announcing in April this year that over 50% of all new homes sold in England, Scotland and Wales are now covered by the New Homes Quality Code.  This will increase to over two thirds of new homes once developers with registrations still pending have completed.

NHQB Chief Executive Emma Toms has commented, ‘The New Homes Quality Code has been going from strength to strength since it was launched two years ago.  With over 80% of the Top 50 developers now signed-up, which will account for around two-thirds of all new homes being built in England, Scotland and Wales, it is important that an independent review takes place to make sure it is robust and fit for purpose now and in the future.’

Another milestone for the NHQB occurred in November last year, when the New Homes Quality Code was officially launched in Northern Ireland at a Forum for a Better Housing Market NI event, held at Parliament Buildings, Stormont, Belfast.

NHQB’s Independent Dispute Resolution Scheme

The NHQB have also introduced an independent dispute resolution scheme, the New Homes Ombudsman Service (NHOS).  Through this service, homebuyers are able to use a six step process that takes them from lodging a complaint to receiving an impartial decision from the NHOS.

NHOS Case Studies

On their website, the NHQB have published several case studies from customers who have referred their complaint to the ombudsman service.

Out of the nine case studies published on the NHQB’s website, most of the complaints revolved around being misadvised or misled, either about the buying process, the features of the new home, or the development.  

One customer complained about the location of the boiler, which differed from a kitchen drawing provided by the kitchen company.  Another complained about misleading details regarding the property’s nearby parking and greenspaces.  A further complaint was about being lied to about the build progress of their new home.

Two complaints focused on the build quality.  One about internal finishes, primarily the kitchen cabinets, whilst the other was about the external finishes and construction, including the mortar joints.

NHOS Rulings

In these cases, the NHOS had varying rulings.  Some complaints were upheld or upheld in part, while others were not upheld.  The results show that customers have appreciated the availability of this independent dispute resolution scheme and have been able to use the rules and regulations set out by the Code to argue their case.  

Where complaints were not upheld, we can also see cases where developers have adhered to the Code, by being transparent with the information provided and fair in their treatment of the customer, for instance, and the NHOS has recognised this.

NHOS Case Study Recommendations

The NHOS has provided learnings from each of these complaints, along with future recommendations to developers.  This includes cases where the complaint was not upheld, as it aims to reduce the number of complaints made by homebuyers, especially the number referred to the ombudsman service.

What Does the Future Hold for the NHQB?

Looking to the future, the NHQB have already begun their first review of the Code, providing an opportunity for key stakeholders from consumer groups and the industry to assess the Code’s current effectiveness and identify areas for evolution and growth.

While the NHQB believes that registered developers have shown ‘exceptional commitment,’ it intends to conduct on-site audits in the forthcoming months as part of its comprehensive audit program.  These audits are designed to ensure rigorous adherence to the Code's stipulations and to discern areas where developers may benefit from extra support.

In addition, the NHQB are looking to publish a Consumer Guide on Snagging and a second Developer Learning Report on Complaints Management within the next few months to provide further support to developers.

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