Scrapping Home Information Packs will see unfortunate job losses

One overlooked impact of the new Government's plans to scrap the controversial Home Information Pack (HIP) is that hundreds of HIP providers could become redundant virtually overnight warns Wedlake Bell, the City law firm.

According to Wedlake Bell proposals by the Conservative/Liberal Democrat coalition to scrap HIPs will see many of the job functions of the HIP industry disappear. EPCs, which are required under European law and are currently produced as part of HIPs, will be retained.

Jeremy Raj, Head of Wedlake Bell's Residential Property Team, says the pill will be particularly bitter as many of the "domestic energy assessors" (DEAs) had invested heavily in their career following the encouragement of the current Government.

Jeremy Raj comments: "I have already been contacted by DEAs who left their old jobs and invested their own money into the HIPs industry either to pay for their own training or set up their own business. Search providers, estate agents and many others have also invested heavily in the HIP industry and many have not yet recouped their set-up costs. It is a real shame that they were persuaded to risk so much to provide a service that almost nobody in the property industry wanted."

"Many DEAs are self-employed so if they do lose their livelihood without any kind of compensation then that would be a severe blow."

"When HIPs are scrapped a huge amount of private sector and Government investment will be disappearing down the drain with them."

Jeremy Raj explains that when the previous Government initially consulted on the introduction of HIPs it should have done more to ensure the service was genuinely sustainable, and should have listened to feedback from the industry.

Adds Jeremy Raj: "Let me be clear - HIPs add little to the conveyancing process and many would say they made the process worse but we need to be just a little more careful before the rug is pulled on these people."

According to the Association of Home Information Pack Providers there are between 3,000 and 10,000 individuals whose livelihoods are either directly or indirectly dependent on HIPs.

Press enquiries:

Jeremy Raj | Email: jraj@wedlakebell.com | Tel: 020 7395 3000

Issued on behalf of Wedlake Bell.