Constructing excellence: New code to deal with complaints

Sep 26 2008 by Catriona Lingwood, The Journal

AS I write this column, the Office of Fair Trading is expected to announce a new mandatory code of conduct for house builders to deal with customer complaints.

The adoption of the cross industry code, planned for early 2010, follows a year-long probe by the competition watchdog, the findings of which were due to be published this week.

It is understood the inquiry will otherwise give the industry a clean bill of health.

The OFT launched the market study last summer to investigate the cause of continuing low customer satisfaction levels, and the industry’s failure to match the demand for housing with supply.

In June, the OFT published a preliminary investigation that seemed to clear the industry of hoarding land to drive up prices.

Now sources suggest the final report will find that the industry is not to blame for stubbornly low customer satisfaction.

The National House-Building Council started to work on a code of conduct last November in response to fears that the OFT would impose an external regulator on the industry.

The watchdog is now set to endorse this code, which is likely to be policed by an independent company and financed by the industry. While some companies may see this as unnecessary meddling and bureaucracy, the new code of conduct does have its merits.

As the OFT inquiry is expected to confirm, the vast majority of firms go about their business in a proper and correct manner. And if complaints do arise, they are dealt with in the best way possible. NHBC introduced a voluntary code of conduct in 2000 to encourage and help house builders to improve customer service.

This year’s industry customer satisfaction survey showed that 75% of buyers were happy with the quality of their new home, a figure unchanged in the past three years.

By introducing an enforced code of conduct, the Government is endorsing all that is good in the house building industry while aiming to bring the small minority of, shall we say, below average companies up to standard.

Customers quite rightly expect and demand a level of service that goes beyond the basic requirements of regulation. For information contact Catriona Lingwood, on (0191) 383-7435 or catriona@constructingexcellence-ne.org.uk.

Catriona Lingwood is regional director, Constructing Excellence in the North East