Low homeowner confidence in builders is costing the economy over £11bn per year, say FMB

The Federation of Master Builders (FMB) has conducted research, finding that one-in-five households are discouraged from hiring builders due to lack of confidence

This lack of construction consumer confidence is costing the economy around £11.2bn per year, say the FMB.

The research was conducted in partnership with the Homeowners Alliance (HOA) and is presented as further evidence in favour of a mandatory licencing scheme for builders by the FMB.

The ability to show competence would encourage more work

The research showed that 82% of homeowners would be willing to pay more money to hire a licenced builder that has proven competence. 68% also agree that introducing a mandatory licensing scheme would increase their confidence in builders.

In the absence of such a scheme, anyone can work on a home as a builder, even those with no competence, training, or experience, often called cowboy builders and leading to underwhelming or even dangerous results.

19% of homeowners have admitted that they have put off work on their home due to being unable to find a builder they trust. Of these delayed projects, 27% were making repair or upgrades to electrics, plumbing, or heating systems necessary to habitation , 24% were fixing structural issues or disrepair, and 15% were adding essential rooms like bathrooms or bedrooms.

Prior research by the FMB has shown that hiring cowboy builders can cause huge losses for homeowners, as £239m has been lost for homeowners in Wales alone, or £1,139 per person. In the whole of the UK, this can reach up to £14.3bn.

“Homeowners shouldn’t have to gamble”

Brian Berry, chief executive of the FMB said: “These findings are a wake-up call. Homeowners are telling us loud and clear: they want builder licensing, they need builder licensing, and they’re prepared to pay for it. Right now, families are putting off vital safety work like fixing faulty electrics, repairing structural damage, upgrading unsafe plumbing because they can’t find a builder they trust. When 82% of homeowners say they’d pay more to hire a licensed builder, the government has a clear mandate to act. A mandatory licensing scheme would give families the protection they want – and protect the reputation of reputable builders.”

Paula Higgins, the CEO of the HomeOwners Alliance, said: “Homeowners shouldn’t have to gamble when improving or repairing their homes, yet that’s exactly what the current system forces them to do. Our research shows people are holding back from vital work not because they don’t want to invest, but because they don’t feel protected. A licensing scheme would give homeowners clarity and confidence about who they’re hiring, while helping raise standards across the industry. Until that happens, too many will continue to delay essential improvements, to the detriment of their homes and the wider economy.”

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Low homeowner confidence in builders costs £11bn+ per year
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