London homeowners have lost more than £3 billion to unqualified or unlicensed builders over a 5 year period, new research from the Federation of Master Builders (FMB) reveals.
New data shows 1 in 4 households across the capital have fallen victim to a rogue builder, with 70% of homeowners supporting licensing domestic building companies as the solution.
The scale of the crisis is matched by a collapse in consumer confidence: only 50% of London homeowners say they are confident in the building work carried out on their home.
Average losses across London’s 75 constituencies stand at £1,703 per affected household, among the highest in the country, reflecting both the cost of labour in the capital and the scale of rogue trader activity.
Tom Peardon, FMB London Director at the Federation of Master Builders, said:
“Behind every rogue builder statistic is a London family left out of pocket, a home left worse off than before and a legitimate builder’s reputation dragged through the mud. Seven in ten Londoners already back a Licence to Build — the Government has run out of excuses not to act.
“I’ve heard these stories first-hand, speaking directly to victims at our parliamentary event and the human impact, let alone the cost is devastating. Licensing gives homeowners one simple thing they’ve never had – certainty about who is walking through their door. It would set the minimum standards, ensure verified competence and create a arket where trust is built from the start.”
Dennis Weeks, FMB London Board member and Managing Director of North London Loft Rooms added:
“Behind every one of those losses is a family left out of pocket, a home left worse off than before and a legitimate builder’s reputation dragged through the mud. Seventy percent of Londoners already back a Licence to Build, the Government needs to act. The low confidence figures tell us the real story. Licensing fixes that as it sets a minimum standard every builder must meet before they ever arrive on site. Licensing would give homeowners a simple, reliable way to know who they can trust before anyone sets foot in their home.”