HBF: Ofgem must urgently translate proposals into action

16 February, 2007

Responding to today’s announcement that Ofgem has announced proposals to speed up the connection of new housing to local energy networks, Executive Chairman of the Home Builders Federation (HBF), Stewart Baseley says:

“A recent poll of HBF members shows that connection takes almost six months - 25 weeks - from application to provision of utility services. Almost two thirds – 63% - of the homebuilding companies or regional business units that were surveyed stated that utility companies had failed to complete a property in time.

“These proposals announced today must deal urgently and effectively with this totally unacceptable situation. The biggest losers, of course, are prospective home owners who are directly affected by the hold up of new homes coming to the market. Ofgem must ensure that utility companies fully comply with these proposed new standards and introduce appropriate penalties if they fail to do so.”

Last year, the HBF launched a campaign to highlight the problems of utility connection delays, appealing directly to Housing Minister, Yvette Cooper MP, to help resolve the issue.

Notes to editors

1. The Home Builders Federation (HBF) is the principal trade federation for private sector home builders and voice of the home building industry in England and Wales. The HBF’s 300 member firms account for over 80% of all new homes built in England and Wales in any one year, and include companies of all sizes, ranging from multi-national, household names through regionally based businesses to small local companies: www.hbf.co.uk

2. Research conducted by HBF amongst its members, published in September 2006, revealed that:

It takes an average of 25 weeks from application to provision of utility services

Almost a quarter of utility companies are taking between 6 months and a year to connect services

Because of this length of time, 63% of developers were unable to complete a property in time

72% of building companies are not satisfied with the levels of service they receive from electricity companies, and 68% of building companies are not satisfied with the levels of service they receive from water companies

3. Utility companies receive payment for connection services upfront, regardless of how quickly connections are established.

4. HBF wrote to Housing & Planning Minister Yvette Cooper in September 2006, calling on the Government to take action to speed up connections undertaken by utility providers.

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Paul Boulter

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paul.boulter@portlandpr.co.uk