Investigation sparked by complaints about shoddy workmanship on new-build homes.
The Office of Fair Trading is launching an inquiry into Britain’s housebuilders.
It is concerned by the quality of new-build homes in Great Britain, which have received a wealth of complaints about shoddy workmanship, it says.
The OFT inquiry will also focus on the practice of demanding a 10% deposit of the purchase price without guaranteeing a final building completion date. Buyers can lose money if their homes are not complete on time.
The OFT might also look into how the industry operates as a whole. It could investigate if the industry acts as a cartel to keep prices artificially high by restricting the supply of land.
The inquiry is currently at a preliminary stage but is expected to become a full investigation.
