The Government has introduced an Approved Code scheme for tradespeople, aimed at addressing consumer protection issues in the home improvement sector. The initiative is part of wider enforcement measures targeting substandard building work and unfair trading practices.
The scheme allows businesses to demonstrate compliance with enhanced standards covering customer service, transparency and dispute resolution. A payment protection system will link disbursements to project milestones, rather than requiring full upfront payments.
Scale of consumer losses
Government research indicates that more than one in four adults who undertook home improvement work in the past 18 months encountered problems. These ranged from incomplete projects to excessive charges and contractors absconding with advance payments.
Of those experiencing difficulties, one in three incurred additional costs, averaging £750 per household. The Government estimates that consumers lost more than £10.3 billion in 2024 on home and garden maintenance due to overcharging, losses or unfair practices.
The measures could affect property investors and landlords who regularly commission maintenance and improvement work, as well as homeowners preparing properties for sale. The scheme may provide a framework for vetting contractors, though participation remains voluntary for traders.
Industry implications
Prime Minister Andy Burnham said: “Cowboy builders don’t just rip people off. They leave families with months of stress, the disruption of unfinished work, and that horrible feeling of being taken advantage of.”
Business Secretary Jonathan Reynolds stated: “Your home is the biggest investment you make. While improving it can be stressful, we are helping families to avoid it turning into a nightmare.”
The code forms part of Government consumer protection measures, which have also targeted subscription services and pricing practices. For property owners considering improvements, the scheme may offer additional recourse options, though the effectiveness will depend on trader adoption rates and enforcement mechanisms.
The initiative follows patterns seen in other property-related consumer protections, though unlike regulations affecting permitted development conversions or listed properties, participation in the Approved Code remains optional for traders. The Government has not specified penalties for non-compliance or detailed how the scheme will be promoted to consumers.
