§ Baroness Gardner of Parkes asked Her Majesty's Government:
§ When the report of the Monopolies and Mergers Commission on the new homes warranty market will be published.
§ The Minister of State, Department of Trade and Industry (Lord Hesketh)My Lords, the report of the Monopolies and Mergers Commission on Structural Warranties for New Homes was delivered to my right honourable friend the Secretary of State for Trade and Industry on 14th December. It will be published in due course. The precise timing of the publication of the commission's reports on monopolies is commercially sensitive and is kept strictly confidential to avoid prejudice to interested parties.
§ Baroness Gardner of ParkesMy Lords, I thank my noble friend for that Answer. Is he aware that the National Housebuilding Council is the body presently responsible for most new home guarantees? Will he confirm that when the report is published there will be an opportunity for public consultation on the matter before any action is taken?
§ Lord HeskethMy Lords, the role of the NHBC will have been examined in detail in the course of the investigation. However, as I am sure my noble friend will appreciate, it is not appropriate for me to comment on the contents of the report before it has been published, or to speculate what action the Secretary of State may take, if any, in response to the report.
§ Lord MellishMy Lords, I hope that the Minister will forgive my ignorance. However, I strongly support the National Housebuilding Registration Council, which was set up some years ago. It gives a guarantee for a certain number of years. Is this body effective? Is it to be wiped out? Can the Minister disclose anything about that? The noble Lord must be careful what he says.
§ Lord HeskethMy Lords, if the noble Lord refers to the NHBC, I believe my previous Answer covered that point.
§ Lord EzraMy Lords, does the noble Lord agree that it is highly desirable that there should be a widespread scheme for the protection of buyers of new homes? Should not part of that scheme include registration for proper inspection?
§ Lord HeskethMy Lords, I am sure that the noble Lord will understand that I cannot make comment on those items covered in the forthcoming document until it has been published.
§ Lord EltonMy Lords, is my noble friend aware—
§ Lord Williams of ElvelMy Lords, is my noble friend aware—
§ Lord Mowbray and StourtonLord Elton.
§ Lord EltonMy Lords, unaccustomed as I am to such strong support, is my noble friend aware that the English House Condition Survey 1986 revealed that the urgently needed repairs to dwellinghouses in those parts of the United Kingdom were valued at no less than £17.8 billion? The figure refers to the time of the survey. It is now considerably greater. Does it not suggest that a warranty is not enough and that owners of houses, like owners of cars, should have instructions on how to look after them?
§ Lord HeskethMy Lords, I am sure that most consumers when purchasing a house have a very good idea of (a) the product they wish to buy and (b) how they intend to look after it.
§ Lord Williams of ElvelMy Lords, if the noble Lord, Lord Mowbray, will permit me—without shouting at about 110 decibels—perhaps I may ask the Minister this question. Does he acknowledge, as does the noble Baroness, Lady Gardner of Parkes, that once the report has been published a period of consultation is absolutely essential? We do not want a repetition of the beer report. When the report was published the Secretary of State immediately said that he was minded to accept it—and we know what happened to that.
§ Lord HeskethMy Lords, I am not sure that I accept the theory of comparability put forward by the noble Lord, but I am sure that he understands why I cannot anticipate something that has not already been published.
The Earl of SelkirkMy Lords, will my noble friend confirm that for 25 years no complaint has ever been made of the work of the NHBC?
§ Lord HeskethMy Lords, I shall certainly draw my noble friend's remarks to the attention of my right honourable friend.