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New homes and housing watchdogs set out how they will work together
The Housing Ombudsman and New Homes Ombudsman have signed a memorandum of understanding (MoU) setting out how they will work with each other.
In a release, the Housing Ombudsman explained that the MoU is based on the relevant provisions in the Building Safety Act 2022 and the Housing Act 1996, while recognising that the New Homes Ombudsman is currently a voluntary scheme.
It sets out the functions of each organisation and describes the arrangements for co-operation and communication between the two bodies.
It also clarifies any potential overlap in the jurisdiction of each ombudsman to ensure that it is clear to both parties which complaints they investigate.
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The New Homes Ombudsman was given the go-ahead to launch following a joint application to the Ombudsman Association by the New Homes Quality Board (NHQB) and The Dispute Service to operate the new watchdog in May 2022.
Under the new regime, house builders will be expected to comply with a code of practice set out by the board, and will start to come under the New Homes Ombudsman’s remit.
It was developed to close gaps in existing redress arrangements for owners of new build homes, primarily freeholders and private leaseholders.
Upon registering with the NHQB, developers will be provided with staff training and additional support to help enable them to meet the requirements of the New Homes Quality Code (NHQC).
The NHQC sets out the standards of service that purchasers of new homes should expect from their registered developers covering the two-year period from the reservation or legal completion.
A complaint to the new homes watchdog may only be made by, or on behalf of, freehold and private leaseholders purchasing new homes from developers who are registered with the NHQB.
Where a social landlord develops or commissions new homes (including for shared ownership/leasehold) other than for freehold sale, and the landlord is a member of the existing Housing Ombudsman scheme, the complaint will fall within this jurisdiction only.
This includes complaints by residents who have a lease of more than 21 years.
Both watchdogs will work together to communicate best practice and share information, and co-operate on complaints that might fall under the remit of both organisations.
Work to launch the NHQB began in February 2021 following calls for a new way to hold new house builders to account and address gaps in protections for buyers.
The quality of new build properties has come under the spotlight of late after a number of near misses and serious building safety issues.
One such incident involved the collapse of a balcony onto the street of a new build estate in Barking in November. Luckily no one was injured.
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