Housebuilders face tighter scrutiny as the government launches a crackdown on rogue builders and moves to close loopholes used by unscrupulous operators. The measures are designed to improve standards across the residential sector and give consumers greater protection when commissioning work. The Chartered Trading Standards Institute (CTSI) has backed the action, warning that fraudulent and substandard construction continues to cause significant financial losses for people across the country. More than one in four UK adults who commissioned home improvements during the past 18 months experienced problems. These included abandoned projects, poor workmanship, excessive charges and builders taking upfront payments without completing the agreed work.
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Consumers lost more than £10.3bn through home and garden maintenance in 2024 due to losses, excessive charges or unfair practices, according to CTSI figures. A report by Leader Online analysing Citizens Advice data found that potential cowboy builder scams have almost doubled since 2022. The cost of putting work right hit £2.3m in 2025, marking the highest figure since 2022. However, the total repair bill could be as much as £189.2m.
The Department for Business, Skills, Innovation and Trade (DBIST) has announced measures intended to make it easier for consumers to identify competent traders through an approved code. The government is also supporting a Trusted Payment Scheme designed to protect money paid for building work. Under the scheme, funds would be released as agreed stages of a project are completed. CTSI and the Approved Code Scheme are working with the Furniture and Home Improvement Ombudsman (FHIO) to develop an approved code for the home improvement sector. FHIO plans to launch it this autumn. The Approved Code Scheme provides a framework intended to set trading standards for businesses participating in individual sector codes and give consumers greater confidence when selecting traders.
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John Herriman, chief executive at CTSI, stated that the organization welcomes the government’s announcement to clamp down on fraudulent tradespeople operating in the sector. Such criminals deliver substandard work that costs individuals – including vulnerable victims – significant amounts of money to rectify the damage they cause to their homes, or who take the money and run. Tim Day, CTSI lead officer for cams and doorstep crime, commented that the inclusion of compulsory redress in a scheme will protect people in a market where detriment is currently far too high, but this must be a first-step in regulating the market.
