Tag Archives: customer care

Preliminary announcement of findings and recommendations of the APPG Inquiry into the Quality of New Build Housing in England

The waiting is nearly over.   Its official!  The New Home Ombudsman is coming! A culmination of two years’ campaigning and ten years dedicated work highlighting the plight of UK new homebuyers.

I spoke. They listened!

The APPG Inquiry report is being finalised and is due for publication in “at the beginning of June 2016.”

APPG Announcment 1On Tuesday 17 May 2016, chair Oliver Colvile MP made a speech at the JCT Parliamentary Reception highlighting the findings and the main recommendations.

He said that he, and “many of his Parliamentary colleagues across the country have had new homebuyers coming to their MP’s surgeries to complain about the way their new home was built. Although the report hasn’t been finalised, I can confirm that the Inquiry Committee has agreed on a number of recommendations and I would like to share a few of those with you”

  1. A New Homes Ombudsman should be set up. This would mediate disputes between consumers and their builders or warranty providers to offer a quick resolution procedure.
  2. Standardised house building sales contracts should be enforced, meaning uncertainty surrounding bespoke builders’ contracts would be removed.
  3. There should be a mandatory right for buyers to inspect and, should they wish, carry out a full survey prior to financial completion. More details of this particular point will be announced in the final report.
  4. To improve transparency, builders should be required to provide homebuyers with a comprehensive information pack. This would include plain English explanations so that homebuyers can understand exactly what they are buying.”

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Persimmon counter claim against their buyer for £8,000 for the cost of repairing his house!

Persimmon issue counter claim to recover cost of repairing new house in Sunderland.

Persimmon Homes, rated just three stars by their own customers in the industry’s  “satisfaction survey,” appear go out of their way to be confrontational and intransigent to any customers who take issue with the builder. The phrase “the Customer is always right” isnt even on their radar if this story from the North East Evening Chronicle is anything to go by.

Vince Wareham Persimmon Render Photo

An unhappy Vince Wareham outside his Persimmon new home at Alexander Park in Sunderland.

New homebuyer Vince Wareham told the Chronicle about his shock when he learned Persimmon were taking legal action against him in an £8,000 counter claim, after he decided to take the house builder to court, claiming £2,950 in compensation for remedial works carried out on his new home.

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No Regulator or Ombudsman for complaints about house builders

It is not just house building that has dissatisfied customers. However,  most other industries have an Ombudsman and official Regulator.

If you bought a new home in the last ten years, the following statements will have a familiar ring to them. After all, the house building industry has a dreadful reputation for both quality and customer service, yet makes every effort to smokescreen and spin the opposite.

  • “Stop solving problems…just make the customer happy”
  • “staff are under pressure to bat away complaints and instead focus on appeasing callers to boost satisfaction ratings”
  • “persuading customers to believe all is fine is more important than getting to the bottom of their problems”
  • “All [the company] care about right now is the net promoter score. Staff are rated on this survey it sends out after a call or web chat. Well actually, on the first question only, “How would you rate [the company] to a friend?”
  • “one of the advisors I spoke to made promises they didn’t deliver. I wonder if this is the way they are trained – to reassure the customer but actually not to do anything.”
  • “other support departments are unhelpful and more interested in their own KPI, pretending they care about customers, but the reality is they are treating them appallingly”

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Have Persimmon Tried To Buy A Better HBF Star Rating?

Can buyers trust HBF  builder Star Ratings?

The HBF National new home customer satisfaction survey is now in its eleventh year. The house builder star ratings (awarded by the HBF) “are allocated according to the proportion responding Yes..” to Question 1 of the survey: “Would you recommend your builder to a friend?…. Yes or No”    The more that respond “Yes”, the better the builder’s star rating.

During research for a previous article concerning claims made by the HBF in the 2016 survey results, I considered the possibility that builders’ sales and site management may be influencing their buyers to respond more favourably in the NHBC 8-week survey. After enquiring on social media, buyers from Britain’s two largest house builders, Persimmon and Barratt, who together built over 31,000 new homes last year, publicly expressed their opinions and claims:

Persimmon HBF SurveyJP (16 October 2015) said: “I’ve bought a recent new build from Persimmon and o boy what a joke their after sales are. I would like to point out I love my flat it’s them that annoy me. We have all been bullied and harassed to tick the first box on the NHBC survey that we would recommend a friend. Obviously didn’t tick it and because I naively ticked share my opinions Persimmon are now treating me like dirt……They were ringing us Saturday and Sunday and I quote “If I do you a favour now, you can do me a favour and tick the first box” They didn’t give a **** about our problems just whether we had said yes or no.”

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HBF Survey Shows New Home Satisfaction Levels Are Falling

HBF  Customer Satisfaction Survey Results 2016

The waiting is over. The results are in,  and the winner is……. well pretty much the whole house building industry if you believe the accompanying Home Builders Federation (HBF) editorial headlined “Homeowner satisfaction with new homes remains high.”

The HBF use the same phrases every year, irrespective of the survey results to market new homes. Why else would the HBF list on the front page their “key benefits of new homes” for the last four years, including the claim that “new homes are built to a higher standard than ever before and the customer satisfaction survey results reflect this” – well not over the last three years they don’t! Since 2013, the key satisfaction questions have provided results that show a marked decline from 91% in 2013 to 85% in 2016!HFB Survey Results

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Barratt withdraw its unique five-year warranty

Last July, Mark Clare retired as CEO of Barratt Developments after a nine-year stint in charge. Within a year of David Thomas taking over the helm, Barratt’s unique five-year new home warranty is no more, withdrawn in November 2015 – six years after being first being introduced.cropped-Barratt-9ss.jpgIn their press release on 17 November 2009 Barratt, Britain’s biggest house builder by volume, proudly proclaimed that their new homes will be covered by a five-year guarantee of fixtures and fittings: “Items covered at no extra cost to the buyer will include appliances such as washing machines and refrigerators, kitchen units, wardrobes, the central heating system, fires, doors, windows, the hot and cold plumbing system, shower doors, sanitary ware and taps, ironmongery, electrical system, internal/external drainage, renewable energy installation (if fitted), and even the boundary brick walls and the driveway” said Barratt.

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The Consumer Code For Home Builders Is Failing New Homebuyers

PrintClose examination of the 2015 published case studies for Consumer Code for Home Builders Adjudication Scheme (CCHBAS) shows exactly what is wrong with the house building industry. It is now time for a New Homes Ombudsman to independently deal with homebuyers complaints and award justifiable and fair levels of compensation. At present, the maximum new homebuyers can claim using the CCHBAS is £15,000. The maximum compensation for “inconvenience” is just £250 – this being all that was awarded to a quarter (27%) of the successful claimants in 2015.

A total of 47 complaints made by new homebuyers were adjudicated in 2015. Of these, 41 were successful or successful ‘in part’ due to a total of 110 violations over 17 different Code requirements. Only one Code requirement (3.4) was not mentioned in any of the case studies.

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HBF mislead the public with misinformation, spin and ignorance on BBC Radio 4 “You and Yours”

“There are lies damned lies and statistics”…Mark Twain

HBF logo 1A spokesman for the Home Builders Federation (HBF) made some exaggerated, misleading and  untrue statements regarding homebuyers’ satisfaction and protection when interviewed for the BBC Radio 4 “You and Yours” programme on new-build homes aired on 2 March 2016. These merit detailed clarification and rebuttle.

The BBC reporter said that “the house building industry says that only around 1% of complaints are around serious issues, structural faults for example and that generally standards are very high.”  Even if true, it would still indicate that out of the 143,560 new homes built in 2015, “around” 1,435 will have structural faults that cannot be “guaranteed” not to crack, creak, crumble or fall down, requiring major remedial works. Often this means the new homeowner has to move into temporary accommodation as is the case with Evelyn Lallo who has been in ‘temporary’ accommodation since June last year whilst Taylor Wimpey carry out extensive remedial structural work.

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Interview For BBC Radio 4 “You and Yours” On New-Build Homes

BBC Radio 4Broadcast on Wednesday 2 March 12.15pm

Can we start by you telling our listeners a little about yourself?

I worked in construction management for 35 years. Having retired; I now provide help, advice and information for UK new homebuyers through my website brand-newhomes.co.uk. I have been campaigning for better quality new homes for over 10 years and I am currently lobbying Parliament for the introduction of a New Homes Ombudsman.

I’m really interested in the point you make about the rush for house builders to complete before the year-end. Are there certain times of year to avoid completing on a new build?

Yes. Avoid buying any new home that is due to be completed in May or June and November or December. This is the time when most of the plc house builders have their financial year-end or half-year either being best avoided at all costs, especially if the home is not plastered at least five weeks before the anticipated Legal Completion date.

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Why a New Homes Ombudsman is now essential

The idea for a New Homes Ombudsman is not new. I have been campaigning for nearly two years, see this blog, my website forum, the “Unhappy New Home Buyers” Facebook Group and lobbying on Twitter. More recently I attended the APPG Inquiry into the “Quality of New Build Housing in England” and proposed the introduction of a fully independent New Homes Ombudsman as one of a series of measures that would force house builders to improve both quality of the homes they build and the service they give their customers after they discover the inevitable defects and problems.

My proposal for a New Homes Ombudsman was met with widespread acceptance at the APPG Inquiry (2nd meeting) and during the question and answer session;  Lord Richard Best said “I chair the property ombudsman which looks after estate agents and things like that and it works well, so at some stage I’d like to explore the Ombudsman concept as a way of trying to handle some of these disputes…..”

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