The construction
industry has come together to develop a mandatory licensing scheme for all UK
construction companies to transform the sector into a high quality and
professional industry, announces the Federation of Master Builders (FMB).
A new Construction
Licensing Task Force, supported by a range of leading industry bodies, will
lead the development of the licensing scheme.
Key statistics
relating to licensing and the need for such a scheme are as follows:
• One third (32%) of
homeowners are put off doing major home improvement works requiring a builder
because they fear hiring a dodgy builder;
• This means that the
UK economy could be missing out on £10 billion of construction activity per
year because of anxiety over rogue building firms;
• More than
three-quarters (77%) of small and medium-sized (SME) construction firms support
the introduction of licensing to professionalise the industry, protect
consumers and side-line unprofessional and incompetent building firms;
• 78% of consumers
also want to see a licensing scheme for construction introduced;
• Nearly 90% of home
owners believe that the Government should criminalise rogue and incompetent
builders;
• Over half of people
(55%) who commission home improvement work have had a negative experience with
their builder.
The decision to
establish a Construction Licensing Task Force follows a recommendation in an
independent research report by Pye Tait
published last year entitled ‘Licence to build: A pathway to licensing UK construction’,
which details the benefits of introducing a licensing scheme for the whole
construction industry and puts forward a proposal for how it could work.
The Task Force will be
chaired by Liz Peace
CBE, former CEO of the British Property Federation, and the following
organisations will sit on it:
• Association of
Consultancy and Engineering
• British Property
Federation
• Chartered Institute
of Building
• Construction
Products Association
• Electrical
Contractors Association
• Federation of Master
Builders
• Glass and Glazing
Federation / FENSA
• Local Authority
Building Control
• Royal Institution of
Chartered Surveyors
• TrustMark
• Which? Trusted
Traders
Liz Peace CBE, Chair
of the Construction Licensing Task Force, said: “Mandatory licensing has the
potential to transform our industry into a world-leading sector. Licensing will
help drive up standards and help address the issue of quality and professionalism,
which is some areas, is falling short. At the heart of what we’re trying to do
is increase protection for the ordinary person who engages with the
construction sector. Indeed, according to research by the FMB, one third of
homeowners are so worried about having a bad experience with their builder,
they are putting off commissioning construction work altogether. This could be
costing the economy as much as £10 billion per year. Enough is enough and the
industry itself recognises that.”
Peace continued:
“Licensing has support in principle from more than 30 construction
organisations and consumer groups. The Task Force will be supported by major
players and in an industry that is often criticised for being too fractured and
disparate, I am heartened by the fact that the sector is coming together to
lead the industry in a new direction. I’m also pleased that senior civil
servants from BEIS and MHCLG will sit on the Task Force as observers as
Government engagement right from the outset is crucial to the successful
development of the scheme.”
Brian Berry, Chief
Executive of the FMB, said: “The vast majority of builders and homeowners want
to see the construction industry professionalised. It’s unacceptable that more
than half of consumers have had a negative experience with their builder. However,
we shouldn’t be surprised by this given that in the UK, it is perfectly legal
for anyone to set up a building firm and start selling their services without
any prior experience or qualifications. This cannot be right given the nature
of the work and the potential health and safety risks when something goes
wrong. In countries like Australia and Germany, building firms require a
licence and we want to develop a scheme that regulates our industry in a
similar manner. I am delighted to be part of the Construction Licensing Task
Force and will ensure that any such scheme works for small building firms.”
