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Housebuilders face £4.5bn class action over house prices

Seven of the UK’s largest housebuilders are facing a proposed class action worth up to £4.5 billion, following allegations that anti-competitive practices may have inflated the price of new‑build homes. The claim, led by a former consumer advocate, is brought on behalf of more than 700,000 buyers who purchased properties between 2015 and 2026.

It is alleged that the companies shared commercially sensitive information, potentially reducing competition and increasing costs for homebuyers. Each affected purchaser could be entitled to several thousand pounds in compensation if the claim succeeds.

The case follows a previous investigation by the competition regulator, which secured commitments from the developers to avoid such practices and included a £100 million contribution to affordable housing projects. However, the new legal action seeks compensation directly for consumers and must first be approved by the Competition Appeal Tribunal before proceeding.

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