Rics takes legal action over Hips

May 16, 2007 by admin  
Filed under News, News-Mortgages

Controversial government plans to introduce Home Information Packs (Hips) to the home-selling process have been dealt a big blow.

The Royal Institute of Chartered Surveyors (Rics) has stunned the property industry by launching a legal challenge against the government just days before Hips become law.

In an unprecedented move for the organisation, officials at Rics have announced that Judicial Review Proceedings have commenced against the Department for Communities and Local Government.

The move centres on the government’s perceived ‘failure to carry out proper consultation prior to implementing new legislation to bring in HIPs’ and is the first time in Rics’ 136-year history that it has launched a legal challenge against the government.

“Rics has not made the decision to commence Judicial Review proceedings lightly,” said Teresa Graham, chairman of Rics’ regulatory board.

“We have exhausted all the alternatives and greatly regret that we were left with no other option if we are to protect the public’s property interests.”

The move has been blasted by the Association of Home Information Pack Providers (Ahipp), which also moved to reassure those training to be employed in the Hips industry that the packs will still be introduced on June 1st.

“It is difficult to understand why Rics has taken this latest step against Hips when they are in the process of training both home inspectors and DEAs (domestic energy assessors) and in addition, play a prominent role within the Hips industry, as a certification scheme,” said Mike Ockenden, Ahipp’s director general.

“However, those who have trained or are currently training to become home inspectors or domestic energy assessors should not be concerned, this latest move will not impact on their future training or their future career progression within the Hips industry.”

An 11th-hour vote is due to take place today (May 16th) in the House of Commons over whether Hips should be introduced while the whole scheme has seemingly been dealt another blow.

Chancellor of the exchequer and prime-minister in waiting Gordon Brown has failed to publicly give his opinion on Hips, leading to further confusion as to whether they will be given the go-ahead.

Tags: director general, Domestic energy assessor, Royal Institute of Chartered Surveyors, Law in the United Kingdom, home inspectors, proper consultation