Complaints soar to new-build ombudsman

Complaints to the New Homes Ombudsman tripled in the last year, with a higher number being upheld.

The ombudsman’s annual report shows that the number of cases received increased from 593 in 2024/25 to 1,802.

Meanwhile, the proportion of decisions in favour of the homeowner rose from 78% to 82%.

Also, the total amount of compensation awarded shot up from almost £67,000 to nearly £215,000, according to the ombudsman’s annual report.

At the same time, the number of cases resolved through early resolution increased from 186 to 575.

Greater awareness

Nigel Cates, Chief Ombudsman at the New Homes Ombudsman Service (pictured), says: “The rise in complaints reflects both more homeowners becoming eligible to use the ombudsman and greater awareness of the service.

“The majority of new homes are now covered by the Ombudsman, but around a third remain outside the scheme.

“Buyers should have the same high standards of protection regardless of which developer they happen to purchase from, and this is particularly important as the Government works to deliver 1.5 million new homes.”

He adds: “We welcome its commitment to putting the Ombudsman on a statutory footing and look forward to clarity on when that will happen.”

The ombudsman was established in 2022, and the intention was to make it mandatory for developers to join, but to date this has not happened.

Signed up

More developers have signed up to the ombudsman service though, growing from 461 in April 2024 to 581 by the end of 2025, a 26% increase.

Problems such as poorly fitted tiles, defective plaster or paint finish through to more serious structural and safety failures, including missing cavity wall insulation and incorrectly installed fire safety equipment, were identified.

A consistent pattern across the casework is that relatively manageable problems can develop into prolonged disputes because of slow or inadequate responses from developers.