CMA accepts housebuilder commitments following probe

The Competition and Markets Authority (CMA) has accepted binding commitments from seven housebuilders following its probe into suspected anti-competitive conduct.

In July, the housebuilders - Barratt Redrow, Bellway, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and Vistry - agreed to pay a total of £100 million to affordable housing programmes across the United Kingdom in response to the CMA’s investigation, which addressed concerns that companies exchanged details about sales including pricing, number of property viewings and incentives offered to buyers.

Following a consultation, the CMA has consented to the housebuilders’ package of commitments, which also included working with the Home Builders Federation and Homes for Scotland to develop industry-wide guidance on information sharing.

The housebuilders agreed not to share certain types of information with other housebuilders, including the prices houses have been sold for, except in limited circumstances. And they committed to introducing enhanced compliance measures and training programmes.

The CMA’s formal acceptance of the commitments, which will be valid for five years, brings the investigation to an end, “with no decision being made as to whether the Competition Act 1998 has been infringed”, the CMA stated.

The CMA has published a non-confidential version …