As we progress into 2025, the home building industry faces significant regulatory changes with the implementation of the Building Safety Act and the Procurement Act 2023. Understanding these legislations is crucial for industry stakeholders aiming to ensure compliance and capitalize on new opportunities.
Building Safety Act: Enhancing safety and accountability
The Building Safety Act, which received Royal Assent on 28 April 2022, introduces comprehensive reforms to improve building safety. Key provisions include:
Establishment of Regulatory Bodies: The Act creates three new entities: Building Safety Regulator: Oversees the safety and performance of all buildings, with a focus on high-rise structures. National Regulator of Construction Products: Ensures the safety and standards of construction materials. New Homes Ombudsman: Provides a platform for homeowners to address grievances related to new builds.
Enhanced Accountability: The Act mandates clearer responsibilities for those involved in the design, construction, and management of buildings, ensuring a higher standard of safety and quality.
These measures aim to foster a culture of safety and accountability, ensuring that new homes are built to the highest standards.
Under the Building Safety Act the new Part L regulation came in, making it so that new home builders needed to thoroughly document the construction process. This presented an administrative nightmare to many, with numerous plots, developments all needing documenting with the many relevant build stages. To assist with this Housebuilder Pro built the Part L helper app. Available to all Housebuilder Pro users this app makes legislative compliance easier than ever before.
Find out more over on the Housebuilder Pro website.
Procurement Act 2023: Streamlining public sector engagement
Effective from 24 February 2025, the Procurement Act 2023 overhauls public procurement processes to foster greater efficiency and inclusivity. Notable changes include:
Simplified Bidding Processes: Introduction of a ‘competitive flexible’ procedure allows for more straightforward and adaptable bidding, making it easier for businesses to engage with public sector contracts.
Improved Payment Terms: The Act enforces prompt payment provisions, requiring contracting authorities to pay undisputed invoices within 30 days, thereby enhancing cash flow for suppliers.
Increased Transparency: A central digital platform will be established to provide consistent feedback and greater visibility into procurement decisions, benefiting suppliers through clearer insights into bidding outcomes.
These reforms are designed to make public sector contracts more accessible, particularly for small and medium-sized enterprises, encouraging a more diverse range of suppliers in the home building industry.
Implications for the home building industry
The introduction of these Acts signifies a transformative period for the home building sector:
Enhanced Safety Standards: Builders must adhere to stricter safety protocols, ensuring that new homes meet the rigorous standards set forth by the Building Safety Act.
Competitive Opportunities: The streamlined procurement processes open avenues for a wider array of businesses to secure public sector contracts, promoting innovation and competition within the industry.
Financial Considerations: While the Acts aim to improve industry practices, builders should be mindful of potential financial impacts, such as compliance costs and the implications of the Building Safety Levy.
Staying informed and proactive in response to these legislative changes will be essential for industry participants aiming to thrive in this evolving landscape.
