Wards suggest Government drops HIPS and focuses on e-conveyancing
- 24 May 2007
With only 8
days to go before the intended implementation of Home Information
Packs (HIPs), the Government yesterday announced that these will now
be delayed. Wards Solicitors feel that the delay, which is the
latest in a series of climb downs, confirms the fact that the
Government has lost the plot on HIPs. It adds to the confusion
surrounding HIPs and increases the period of uncertainty for all
those involved in conveyancing.
The climb down came as a result of a successful legal challenge by
the Royal Institution of Chartered Surveyors, based on lack of
consultation by the Government in pursuing its proposals. This
followed on from an unsuccessful Conservative challenge in the
Commons and heavy criticism from the House of Lords Select
Committee, which noted the hostility and lack of support from all
key professionals in the industry.
Instead of HIPs being implemented on 1 June, they will now only
apply from 1 August 2007 to property with four bedrooms or more. The
intention is to extend them to smaller properties as ‘rapidly as
possible’, although Ruth Kelly failed to define the time scale., and
also refused to be drawn on what the legal definition of ‘four
bedrooms’ would be.
The reason for the delay is the current lack of trained assessors to
deliver the Energy Performance Certificates, which are now part of
the Home Information Pack and which the Government refuses to
introduce separately.
Susan Ellis, a property partner at Wards says: “The original stated
purpose of Home Information Packs was to improve home buying and
selling, increase the speed of transactions and reduce wasted costs.
Now the Government’s main focus seems to be about making HIPs
deliver its green agenda. However, adding expensive red tape is not
going to improve the conveyancing process.”
Wards, along with many other property professionals, believe that
the legal elements of the HIP are now so diluted as to be
meaningless in achieving any of the stated objectives. Susan adds:
“We feel the Government should now abandon what is left of the
current ill-conceived and now completely discredited HIP proposals,
deal with Energy Performance Certificates separately and re-focus on
its ongoing e-conveyancing measures. Wards were involved in the
original Sellers Pack trial and support any sensible conveyancing
initiative. Indeed, we are currently involved in the Land Registry’s
Chain Matrix Pilot and see future improvements lie with the
Government’s e-conveyancing initiative”.