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News: Tory HIP operation fails

Thu, 17 May 07

Tory MPs have failed in a last-ditch bid to block the introduction of the government's controversial home information packs...

Conservative leader David Cameron had tabled a motion calling for the regulations to be annulled, but that was defeated by 306 votes to 234 -- a government majority of 72.

The packs -- designed to making the home-buying process more efficient, cut the number of transactions that fall through and encourage homeowners to reduce energy consumption -- are due to come into force in England and Wales on 1 June, but have met fierce opposition.

The plan still faces a challenge in the House of Lords next week and the Royal Institution of Chartered Surveyors (RICS) is seeking a judicial review in the courts over an alleged failure by ministers to carry out proper consultation.

RICS spokesman Jeremy Leaf said Wednesday's House of Commons debate on the subject had highlighted the need for immediate government action.

"The introduction of HIPs will have few benefits to the consumer and adversely affect the housing market and the wider economy," he said.

"The government should be brave and postpone their flawed plans for home buying reform.

"By preventing this potentially damaging and chaotic policy Gordon Brown could give substance to his claim to lead a listening government."

Vote ‘reaffirms’ Government committment

However, proponents of HIPs welcomed the Tory failure.

Mike Ockenden, director-general of the Association of Home Information Pack Providers, said:

"Yet again, (the) government has demonstrated its commitment to reducing the carbon emissions of our housing stock and to improving the house-buying and selling process for consumers across England and Wales."

Stephen Callaghan, director of energy-assessors.com -- a Web site that provides training and employment to those who want to become domestic energy assessors under the HIPs regime -- said the vote had "reaffirmed" the government's commitment.

"This will give consumers, the industry and those training to provide energy performance certificates (EPCs) full confidence to proceed towards implementation as legislated.

"Any further attempts to scupper the most important reform of the house-buying and selling process for decades will be unnecessary and only add to the continued scare-mongering and subsequent confusion that has been rife."

Potential debate ‘hi-jacked’ by the EPC question

Peter Bolton King, Chief Executive at the NAEA, comments:

“Bearing in mind the Government’s majority, this result is perhaps not surprising but never the less the fact that 234 members of Parliament voted for its abolition, indicates the strength of feeling in the House.

“It is a shame that the potential debate on HIPs was hi-jacked by the question of the Energy Performance Certificate (EPC) - a measure that the Association supports.  It was clear in the debate that there was a strong feeling that whilst the EPC should be retained the rest of the ill thought out HIP should be ‘dumped’.

“The Association once again asks the Government to carefully reflect on this afternoon’s debate and urges them to reconsider the whole matter”.

 

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