More than 700,000 new-build buyers could be in line for compensation after a proposed class action was filed against seven major housebuilders. The claim alleges that buyers across Great Britain may have paid more for their homes because commercially sensitive information was shared between developers.
A legal claim worth up to £4.5 billion has been brought against Barratt Redrow, Bellway, The Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and Vistry Group, including Countryside Partnerships.
According to reports, the case is being led by Mark McLaren, a former parliamentary and legal affairs manager at Which?, and covers people who bought newly built homes between October 2015 and 24 June 2026. The proposed collective action has been submitted to the Competition Appeal Tribunal, which will decide whether it can proceed.
Buyers May Have Paid Inflated Prices
The claim centres on allegations that the housebuilders exchanged commercially sensitive information rather than competing fully with one another. According to reports, the information allegedly included pricing details, numbers of property viewings and incentives offered to buyers, such as upgraded kitchens or help with stamp duty costs.
The legal team argues that reduced competition among major developers led some purchasers to pay inflated prices for new-build homes.
Mr McLaren said buying a home is one of the biggest financial commitments most people make, adding that buyers “may well have been left out of pocket” if pricing and sales information was shared instead of firms competing properly. The claim estimates that eligible homeowners could receive between £3,100 and £6,200 each. Across the group, the total value is put at between £2.2 billion and £4.5 billion.
CMA Probe Led to Settlement, Not a Breach Finding
The action follows an investigation by the Competition and Markets Authority into whether major housebuilders exchanged sensitive information over a two-year period ending in February 2024. The CMA did not continue enforcement action after the companies agreed to pay £100 million into affordable housing programmes and accepted binding commitments to prevent future information-sharing.
The regulator did not make a formal finding that competition law had been breached. Mr McLaren’s claim alleges that the conduct affected buyers as far back as October 2015, going beyond the period examined by the CMA.
Scott Campbell, a partner at Hausfeld, said individual claims would not be realistic for most homeowners because of cost and complexity. He said the collective action offered a practical route for consumers who might otherwise have had no way to seek compensation.
