Greg Hurst
Take a trip to New York and see the city from the air
One of Gordon Brown’s closest ministerial allies receives strong criticism today from Labour MPs accusing her of mishandling the introduction of home information packs.
They accuse Yvette Cooper, the Housing Minister, of poor preparation and say that she lost her nerve, leading to confusion, delays and watered-down packs.
The MPs dismiss claims that the decision to postpone and then phase in the packs, which all homeowners must now pay for before putting their property up for sale, was in response to signs of a slowdown in the housing market. In unusually trenchant criticism, they say that the reasons were entirely political and blame ministers for retreating under pressure.
Many surveyors and others who trained as inspectors in preparation for home information packs were left out of pocket, and homebuyers and sellers altered their plans after Ms Cooper abandoned a key element of the packs — home condition reports, which are now voluntary — and delayed their implementation.
MPs on the Communities and Local Government Select Committee say: “The long and tortuous process of introducing home information packs signals another failure of delivery on [the department's] part, and the reasons for that failure lie in poor preparation and a retreat by the department’s ministerial team.”
Their report adds: “We can only conclude that decisions to delay the introduction of home information packs and then to phase them in for homes of different sizes across a period of months were taken on political rather than economic grounds, owing more to a failure of nerve in the face of vocal opposition from the press and others than to the general conditions prevailing in the housing market itself.”
The 11-member committee is a crossparty one, but minutes of the report show that only five MPs were present when the report was approved, none of them Conservative. Four were Labour — the chairman, Phyllis Starkey, a long-time supporter of Mr Brown, John Cummings, Jim Dobbin and Bill Olner — and one Liberal Democrat, John Pugh.
Ms Cooper is one of Mr Brown’s most trusted ministers and is married to Ed Balls, the Secretary for Children, Schools and Families — often described as the Prime Minister’s right-hand man. It was their experience of trying to buy a home in her constituency of Pontefract and Castleford in 1998, the year after she became an MP, that has driven Ms Cooper’s support for the packs: the couple lost money after paying for fees and searches when a survey showed that significant work was required, forcing them to pull out of the purchase.
In their report the MPs call the introduction of the packs — also known as Hips — a failure, despite it being a priority of the Department for Communities and Local Government.
They also rebuke Peter Housden, the department’s top civil servant, for laying some of the blame on a shortage of inspectors. He told the committee that this was because of uncertainty over the policy, particularly when surveyors threatened legal action. The MPs said: “For the Permanent Secretary to suggest home infomation packs could not be introduced because there were not enough inspectors is casuistry. There were not enough inspectors because \ first watered down and then repeatedly delayed the introduction of Hips.”
In her evidence to the committee, Ms Cooper also blamed a cooling in the housing market last summer. But the MPs concluded that, with an average price of £300 to £350, the packs would only have a minor impact on house sales. The packs became compulsory for all property sales last month, six months after their intended date, after ministers put back the timetable and introduced them for bigger houses first.
Grant Shapps, the Conservative housing spokesman, said: “The shambolic and secretive way in which Yvette Cooper has rolled out this botched policy is a disgrace. At a time when the housing market needs certainty and stability Labour provided chaos and confusion. Yvette Cooper should release the results of the Hips trials, apologise to hard-pressed homeowners and scrap this hated policy.”
Pack of trouble
1997
the year when the idea of home information packs (HIPs) was first mooted by the Labour Party
5,000
the number of qualified energy assessors trained to provide HIPs
£200
the potential fine for selling a house without a HIP
7 to 10
the average number of days it takes to prepare HIPs
£300 to £350
the average price of a HIP
Sources: National Association of Residential Home Inspectors; Department of Communities and Local Government; Times database
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just paid 350 quid for HIP that - among other things - tells potential buyers that if they spent an amount of money on energy saving measures they would actually pay more in energy bills - proved to me that its another McGovt sham
Graham, Towcester,
£300 to £350 for a HIP is nothing when you are ripped off by Estate Agents to the tune of thousands of pounds! What do they do for their money? They are the ones that need regulating, in my experience they are no better than politicians - if their lips are moving they are lying.
Estate Agents will find a way to line their own pockets from HIPs beware the agent who offers you a 'free' HIP, I looked at a 'deal' offered by a national agent and it would have cost me well over £800. Steer well clear!!
Steven Gamble, Ashford,
This has nothing to do with anything other than the extra VAT that McBrown takes and probably another cut of the cost of a HIp.
Its a stealth tax and nothing more.
Roger S Kingston, york,
Are you people stupid
Its a fine per day !!!!!!!!! that the house is on the market without a HIP it is obvious that you know nothing about this
so it is way cheaper to get a HIP then pay the fine
and you must so so rich that you don't need a mortgage to buy houses because mortgage lenders want surveys before lending you money
also if you sell a house you normally buy another one thus paying for one HIP and getting another free !
unless you are loaded and have more then one house and then £300 should not be lots of money too you !
you wouldn't buy a car without an MOT so why buy a house without one?
and if are really worried about money why not complain about estate agent fees, They are the robbers.
Darcy Pace, trowbridge, wiltshire
I find it unbelievable (perhaps not!) that Yvette Cooper based her decision to press ahead with the final roll out of Hips on her own experience after loosing money with a bad survey! Whats needed is full accountability from the following:
Council of Mortgage Lenders
Local Authorities
Solicitors
Management Companies
Surveyors
for a time scale to complete their findings, say six weeks which has been the average time scale for decades. Not to fine the seller and their Estate Agent £200 for non compliance and fill the coffers of local Authorities, buyers and sellers, by law should have a Mortgage pledge in place or legal confirmation of funds before they offer on a property, management companies be fined for late production of accounts for Leasehold properties and surveyors to return their findings within 48 hours. How can any M.P jump from one post to another without product knowledge! M.P. really means, (Meddlers and Peddlers) in a world of their own!
Frustrated Agent.
Mike, Midhurst, West Sussex
Gordon : "Yvette, you have presented this turd poorly..."
Yvette : "no , it is a turd"
I dont think you could blame Yvette Cooper of poor preparation and loosing her nerve. I mean how are you suposed to impliment something that is blatently rubbish.
As ever Labour are more interested in the presentation than the fact that the nuts and bolts are wrong.
Dave, Welton, Lincolnshire
Whatever this woman said or did, HIPs packs remain legalised theft.
Judy , Liverpool, england
Yet another totally useless initiative that has made properties more expensive to buy and sell with a zero benefit to the consumer. The only winners yet again are the Treasury and yet another meaningless rubber stamped european directive ticked off by the backdoor. Thanks for nothing Yvette your so called "solution" to your own house buying misfortune has made matters infinitely worse for whole country.
phil, Ipswich,
"that has driven Ms Cooperâs support for the packs: the couple lost money after paying for fees and searches when a survey showed that significant work was required"
Good to see that policy is based on a particular Minister's personal experiences, rather than the wishes of the electorate. Isn't that dictatorship?
W Smith, Oldham,
I shall just stay put - there is no way I am paying for a HIPS, its a complete waste of time and money and the sooner its scrapped the better. We need initiatives to help the housing market not stifle it.
If I were buying a house I would n't even bother looking at it - I would just get my own searches etc done .
Its just another way of this govt getting us to part with our hard earned cash.
s pullen, derby,
The woman is a fool, then again so is the entire idea. What a bunch of clowns this government are.
D Case, Newquay,
generalising from the particular
one out of pocket "balls up" in 1998
now everyone can enjoy the Balls feeling thru mrs B who like nearly all of new Labour never seem to have done a real job in either the Public or private sectors and only sit centrally running a do as i say not as i do governmen
like all N L ideas hopeess out of touch in practicet
was this the pair who exploited the parliamentary rules about big subs for 2nd houses??
jbzola, staines,
Would Yvette Cooper have been a Minister had she not been married to Ed Balls, who is Gordon Bean's 'right hand man' ?
Judging by the HIPS fiasco, I think we can draw our own conclusions.
Richard , London, England
"An eleven member committee.
Only five present when report was approved - none of them Conservative."
Why were they not there? Where were they? Was it not important enough for them to tip up?
Tricia, E Sussex, uk
£100 - £150 in pocket for selling without a HIP? ....it's a no-brainer.
Susan, London, UK
Nigel & Simon (above) seem content to pay a fine of £200. It might be cheaper than paying for a HIP but isn't it obvious that New Labour's real intention was a windfall tax and that paying the fine benefits HMG even more? HIPs are pointless and just another form of taxation: if there's any proof that they speed up the house-buying process, let us hear it; otherwise, abolish them.
John, Eastbourne, Sussex
In my opinion, if the fine for selling a house without HIPS is £200, and the HIPS costs between £300 to £350, we would all be better off if we don't pay for the HIPS and get fined!!
These politicians get better every day!!!
Nigel, Redruth, UK
Cheaper to pay the fine.......
HIPS complete waste of time
Simon, Nottingham, UK