Help to Buy: Housebuilders’ Profits

Lord Best Excerpts

Wednesday 27th February 2019 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, I leave it to the Labour Party to have an assault on profits; there is nothing wrong with profit itself. It is inappropriate when the money is not being invested properly and providers are not taking proper account of their duties; that is unacceptable. The noble Lord will know that the lifting of the cap on local authorities will help with an issue on which he and I agree: the need for more social houses.

[Lord Best (CB)]

My Lords, the Minister is suggesting that the oligopoly of major-volume housebuilders has let us down on quantity, affordability, design, workmanship and quality of product. Could he update us on the arrival of a new homes ombudsman, who can deal with a good number of the complaints that, justifiably, people are making about the appalling quality they experience when they buy some of these properties?

[Lord Bourne of Aberystwyth]

My Lords, most of the suppliers of homes under the Help to Buy scheme are small and medium-sized enterprises, although I accept that the larger players are delivering the volume. I agree with the noble Lord about the need for a new homes ombudsman and he will know that, when legislative time allows, we will introduce that. In the meantime, with the Home Builders Federation we are looking at the possibility of a voluntary homes ombudsman, to make sure we have the qualities he and I are keen on and that they are enforced.