An investigation has been opened into eight housebuilders amid evidence they have been sharing “commercially sensitive” information.
The Competition and Markets Authority (CMA) announced it had opened an investigation after finding signs that some housebuilders may be sharing information with their competitors, which could affect property prices and weaken competition. The investigation will look into Barratt, Bellway, Berkeley, Bloor Homes, Persimmon, Redrow, Taylor Wimpey, and Vistry.
It has not reached any conclusions about whether the law has been infringed. News of the investigation came as part of a wider review of the UK’s poor supply of new housing. In a year-long look at the state of the housebuilding sector and the private rental market, the regulator warned that the housebuilding sector “needs significant intervention” amid concerns over the quality of new homes, “high and unclear” estate management charges and planning issues.
The organisation said in its final report that the current planning system and limitations of speculative private development “have seen too few homes built”. It highlighted “persistent shortfalls” in the number of homes built across England, Scotland, and Wales, with fewer than 250,000 built last year across Great Britain, compared with a target of 300,000.
CMA chief executive Sarah Cardell said: “Housebuilding in Great Britain needs significant intervention so that enough good-quality homes are delivered in the places that people need them. Our report, which follows a year-long study, is recommending a streamlining of the planning system and increased consumer protections.
“If implemented, we would expect to see many more homes built each year, helping make homes more affordable. The CMA has also today opened a new investigation into the suspected sharing of commercially sensitive information by housebuilders which could be influencing the build-out of sites and the prices of new homes.
“While this issue is not one of the main drivers of the problems we’ve highlighted in our report, it is important we tackle anti-competitive behaviour if we find it.”
A Bellway spokesperson said: “We are reviewing the CMA’s report. Bellway has engaged and co-operated fully with the CMA throughout its market study – and will continue to do so.”
Original artice – https://business-live.co.uk/all-about/yorkshire-humber
