One billion pounds have been spent on HIPs
May 22, 2010 by Reno
Filed under News, News-Mortgages
Earlier this week the new coalition government announced that it was abolishing Home Information Packs, or HIPs, other than keeping one element of the pack, which was the EPC or Energy Performance Certificate. The packs have caused huge controversy since they were brought in by Labour in 2007, with homeowners loathe to spend the hundreds of pounds required when trying to sell their homes.
According to recent reports homeowners in the UK have spent an astonishing £1 billion on these Home Information Packs since they were brought in, and many officials have branded this a complete waste of money adding that the HIPs were pretty pointless.
Estate agents across the nation have welcomed the new government’s decision to abolish these packs just a few days after coming into power. For estate agents the need for HIPs caused a number of problems, including a reduction in properties being sold because of the additional cost and also potential delays with property sales due to the need for the pack.
The report claims that around 2.7 million homeowners have been forced to pay for one of these packs in order to sell their homes, but that in the most part those buying the property didn’t even bother to look at the information in the packs. The new housing minister, Grant Schapps, said that he was keen to get on with ‘cutting away pointless red tape that is strangling the market’.
Tags: homeowners, epc, HIP, Home Information Pack, Energy Performance CertificateEric Pickles, the Communities Secretary, said that the money that homeowners would save would come in useful for other things, stating: ‘Hips are history. I hope people can use the money they save to do something useful for themselves, like go to B&Q and buy some paint or some shelving or some white goods.’
