The Labour Party has announced a major overhaul of the homebuying process, aiming to cut costs by up to £650 for first-time buyers and reduce transaction times by four weeks. The reforms, championed by Prime Minister Keir Starmer, include mandatory 'sales packs' for sellers and estate agents at the point of listing, containing information on a home’s condition, leasehold costs, and chain status.
Binding agreements will be introduced earlier to prevent parties from withdrawing without a legitimate reason, a move Labour says will help young people plan their next steps. A new Code of Practice will raise standards for estate agents, alongside proposals for mandatory qualifications in the sector.
Starmer said the reforms would “bring this outdated process into the modern age, saving people time and money, and giving them the certainty they deserve.” Housing Secretary Steve Reed added that the changes would make the system “faster, fairer, and more secure.” Chancellor Rachel Reeves noted the economic benefits, stating the government is “getting the housing market moving.”
The overhaul will digitise the system with property logbooks, enabling secure real-time sharing of information. Digital identity checks, electronic signatures, and AI-assisted conveyancing are also planned to reduce fraud and speed up transactions. Currently, the average home purchase takes around 120 days, with one in three sales falling through, costing sellers £400 million annually and the economy up to £1.5 billion.
Property expert Phil Spencer welcomed the initiative, saying it has the potential to make homebuying a “far better experience.” Rightmove CEO Johan Svanstrom called it an “encouraging step” towards a more efficient market, noting that completions currently take 170 days on average, with over one in five transactions initially collapsing.
