HC Deb 20 June 1967 vol 748 cc1398-9
13. Mr. Robert Howarth

asked the Minister of Housing and Local Government if he will introduce legislation to provide financial support to the work of the National House Builders Registration Council and requiring building societies and local authorities to grant mortgages for new houses only on properties constructed by National House Builders Registration Council registered builders.

Mr. Mellish

I do not think that the work of the Council, which is expanding rapidly, is being hampered by lack of finance, and I know that the Council attaches importance to the self-supporting character of its scheme of protection for house purchasers. The Building Societies' Association has recommended member societies to grant mortgages for new houses only on properties built by registered builders, and a similar recommendation was made to local authorities by my right hon. Friend's predecessor. He would like to see how these voluntary arrangements work out before considering the need for legislation.

Mr. Howarth

Is my hon. Friend aware that the N.H.B.R.C. at the moment offers a fair measure of protection to private house buyers, but that if Government assistance were given it could increase the amount of inspection it now undertakes, which would benefit millions of prospective buyers?

Mr. Mellish

We are in close touch with the N.H.B.R.C. What my hon. Friend says is not the view that it has expressed to us. At this time there is a voluntary scheme. Present figures show that 5,800 builders have joined, representing over 70 per cent. of those who build private houses. This has all been achieved within the last year. We should give it a little more time before talking about Government intervention.

Mr. Loveys

Does not the hon. Gentleman agree that although the figure of 70 per cent. of new houses being built by members of the N.H.B.R.C. is undoubtedly correct, a considerably smaller proportion than 70 per cent. of individual builders are members of this Council, and that further action is necessary to encourage membership?

Mr. Mellish

The hon. Member is on a very important point, on the question of those builders who are outside the scheme. At some stage the House may have to consider what to do in order to achieve 100 per cent. membership.