The New Homes Quality Code (NHQC) emphasises the importance of timely and effective communication in resolving customer complaints. This NHQC case study demonstrates how poor communication, delays and inconsistent handling of defects can lead to significant and prolonged issues for homeowners. Despite some attempts by the developer to carry out remedial works, key defects, most notably severe waterlogging to the garden and other workmanship issues remained unresolved, with the homeowner experiencing ongoing delays, missed appointments and a lack of clear explanations.
The New Homes Ombudsman Service (NHOS) found that the developer had failed to meet the NHQC’s requirements in relation to quality, timeliness, communication and complaint handling, and the complaint was partially upheld, resulting in a significant compensation award and directions to complete the outstanding works.
What was the complaint?
In this case, the homeowner raised several defects following completion of their new-build property, including a persistently waterlogged rear garden, a faulty front door, an en-suite shower leak, and wider workmanship issues. The homeowner also raised concerns regarding an incorrectly revised garden boundary plan issued after completion, which caused confusion and a dispute with a neighbour.
Following these issues being reported, the developer carried out some remedial works and investigations. However, a number of defects remained unresolved, were not adequately investigated, or were subject to repeated delays. The homeowner also experienced missed appointments, delays in reimbursements, and instances where agreed actions were not followed through.
The homeowner remained dissatisfied and made a complaint to the NHOS on the basis that key defects, particularly the severe waterlogging to the garden, had not been properly addressed and continued to impact their use of the property. In addition, the homeowner complained that the developer’s communication was poor, lacked consistency and clarity, and that their concerns were not handled in line with proper complaint procedures.
Was the homeowner’s complaint upheld?
The NHOS noted that the developer had not complied with the NHQC’s requirements regarding workmanship quality, timeliness, communication, transparency, and the handling of complaints.
Expert evidence confirmed that drainage works were required to address the unresolved waterlogging in the rear garden. However, the developer had not implemented a solution, leaving the garden largely unusable and causing ongoing detriment to the homeowner.
The NHOS awarded £20,000, finding the developer’s offer of £5,000 inadequate given its failure to remediate the issue. The award also reflected the evidenced cost of the required remedial works, the seriousness of the waterlogging, and the developer’s wider failings, including defects to the front door and en-suite flooring, poor plastering workmanship, delays to remedial works, poor communication about the incorrect boundary plan, and shortcomings in complaint handling.
In summary, the compensation reflected both the seriousness of the defects and the impact of the developer’s failings, placing the award within the NHOS exceptional category.
Practical tips for housebuilders and developers
In order to mitigate the risk of complaints of this nature between developers and homeowners.
Where a developer decides not to take action, it should provide a clear and transparent explanation, including any technical, practical or site constraints. This helps customers understand why an issue cannot be progressed and gives them confidence that their complaint has been properly considered.
Any financial settlement offered instead of remedial works should be proportionate to the scale, cost and impact of the issue. Offers that do not reflect the likely cost of remediation may be viewed as unfair or unreasonable.
Accuracy and transparency throughout the sale and after-sale process are essential. Issuing incorrect plans or information can cause significant confusion and distress for customers and may damage the developer’s reputation.
Reach out to one of the experts listed below for advice on the New Homes Quality Code and/ or policies and procedures.
This article was co-authored by Jordan Dexter.
