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Government denies delay over Hips

The Government has played down reports that the final stage in the rollout of its controversial Home Information Packs (Hips) is being delayed.

Reports that the requirement for homeowners to have a pack before selling their home was being put off until the end of the year were dismissed as "speculation" by the Department for Communities and Local Government (CLG).

Currently, homeowners in England and Wales can begin marketing their property as soon as they have ordered pack, but from June 1 they cannot put their home up for sale until they have completed one.

The Government had reportedly planned to delay this final stage of implementation due to the current downturn in the housing market.

A CLG spokesman said: "Hips have already been introduced and rolled out across the county. It is a nonsense to suggest otherwise. This is just speculation and no decisions have been taken.

"We have always said we will work with the industry on the technical implementation of Hips, but to talk about significant changes to the policy is wrong.

"It is also wrong to try and conflate Hips with the wider pressures on the housing market caused by the international credit crunch."

The Hips initiative aims to speed up process of buying a home and cut the number of sales falling through by giving people more information up front.

The packs must include an energy performance certificate, whether the property is freehold or leasehold, standard searches and evidence of title.

Hips were gradually phased in during the second half of 2007, and all properties put up for sale in England and Wales are now required to have one.

The Conservatives said Hips would not speed up the homebuying process and urged Prime Minister Gordon Brown to ditch the plan altogether.

Shadow housing minister Grant Shapps said: "Hips have only served to strangle the housing market at a time of uncertainty instead of providing it with the stability it needs.

"The taxpayer has already had to foot a £4 million bill for a botched trial of Hips which proved they don't speed up the homebuying process."

Copyright © PA Business 2008

 

 

 

 

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