Prime Minister Andy Burnham has pledged a crackdown on "cowboy builders" ripping off households and private bailiffs using intimidating tactics against people struggling with debt. New measures outlined by the Prime Minister will help people find trusted traders through a register and protect their money from unscrupulous operators.
Citizens Advice said home renovations were one of its biggest sources of complaints, with more than one in four adults reporting problems with their most recent project, including shoddy work and builders vanishing before completion.
New scheme and payment system
From September, a new scheme will be rolled out which will allow businesses to sign up to an approved code to demonstrate they meet standards on customer service, transparency and resolving disputes. From next week, a new payment system will become available to allow customers to avoid upfront costs by linking payments to project milestones.
"Cowboy builders don’t just rip people off," Mr Burnham said. "They leave families with months of stress, the disruption of unfinished work, and that horrible feeling of being taken advantage of. Not only that, but they give the vast majority of decent, hardworking tradespeople a bad name."
The former Mayor of Greater Manchester continued: "So we’re putting the cowboys out of business. These changes mean you’ll now have the option to make sure your money is held safely and released bit by bit as the work gets done.
"It’s the latest in our series of everyday fixes to give people room to breathe and make Britain fairer. We’ve taken on subscription traps, fake discounts, and now we’re coming for the cowboy builders. Enough is enough."
Regulation of private bailiffs
Business Secretary Jonathan Reynolds said the changes would "protect consumers, support reputable traders" and help families avoid home improvements "turning into a nightmare".
Ministers also announced tougher regulation of private bailiffs in England and Wales, including mandatory independent oversight. The changes are intended to ensure consistent professional standards, amid concerns over enforcement agents pressuring people into repayment arrangements that left them unable to pay for daily essentials.
Bailiffs will be required to be accredited by the Enforcement Conduct Board, or work for an accredited firm, in order to get the certificate needed to operate. The Government will also seek to make the consumer protection system easier to navigate by examining how organisations such as Citizens Advice and Trading Standards work with regulators, enforcement bodies and redress schemes.
Conservative criticism
The Conservatives criticised the plan, arguing it would be better to "beef up" law enforcement against offenders. Andrew Griffith, shadow secretary of state for business and trade, said: "We all want to see action to stop rogue traders, but this announcement looks like the sort of government initiative that risks the unintended consequence of piling more paperwork onto the majority of businesses who already do the right thing.
"The Government would do far better to beef up law enforcement and have tougher sentences for the minority who fraudulently rip off customers, but they have cut police numbers and are letting criminals out of jail early."
The Tory MP for Arundel and South Down added: "Those who break the rules will keep breaking them regardless of whether there is an app in the way. Only the Conservatives will bring back consequences for lawbreakers."
