Bought a new-build home? You could be in line for £6,200

People who have bought a new build home could be paid up to £6,200 if a new class action against Britain's largest housebuilders is successful.

Seven of Britain's largest housebuilders are facing the £4.5billion action because lawyers claim that their 'anti-competitive' practices led to higher house prices for buyers.

Mark McLaren, a former legal affairs manager at the consumer group Which?, is leading the claim against Barratt Redrow, Bellway, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and the Vistry Group.

Legal action was launched on Tuesday by solicitors for the claimant on behalf of more than 700,000 consumers who purchased new-build homes between October 2015 and 24 June this year.

McLaren, who is being represented by competition law firms Geradin Partners and Hausfeld as co-counsel, believes each affected homeowner could be due compensation of between £3,100 and £6,200 each, totalling between £2.2billion and £4.5billion.

The legal action has to be approved by the Competition Appeal Tribunal before it can go ahead.

The claim launched on Tuesday follows an investigation by the Competition and Markets Authority (CMA) into whether the housebuilders shared commercially sensitive information.

Legal claim: Seven of Britain's largest housebuilders face a £4.5bn class action

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In October 2025, the CMA confirmed it had dropped its investigation into possible market collusion by the housebuilders in return for a payment of £100million towards affordable homes.

The CMA found that there were signs that the housebuilders had exchanged details about sales, including pricing, the number of property viewings they had undertaken and the type of incentives offered to buyers such as stamp duty contributions or upgraded kitchens.

But the agreement secured with the housebuilders meant the CMA did not need to rule on whether the firms broke competition law.

The CMA also accepted binding commitments from the seven businesses that they would not collude to share information.

Housebuilders pledge £100m for affordable homes but deny keeping prices high after competition probe

Last year, the majority of the housebuilders said they welcomed the CMA's decision, adding that the £100million payment was not an admission of wrongdoing.

McLaren said in a statement: 'Buying a home is one of the most important and most expensive purchases a person will ever make.

'Homebuyers should be confident that the housing market is transparent and competitive so that they pay a fair price for their new home, not an inflated one.

'The CMA identified serious concerns about information-sharing between major housebuilders.

'That is why I am bringing this claim, which looks to ensure that UK homebuyers obtain compensation for harm suffered as a result of the housebuilders' anti-competitive conduct.'

The claim launched this week seeks to go beyond the CMA investigation. It alleges that the impact of information sharing may have extended before 2022 and seeks compensation for homeowners allegedly affected from October 2015 onwards.

Scott Campbell, a partner at Hausfeld, said: 'For most homeowners, bringing an individual claim simply isn't realistic, as the cost and complexity put it out of reach.

'That's why this collective action is so important. It provides a practical route for hundreds of thousands of consumers to seek compensation where they may otherwise have had no way of doing so.'

Class actions are a type of legal claim where one or more individuals bring an action on behalf of themselves and other people who have all been affected by the same issue.

They have become increasingly popular as most individuals would struggle to afford to bring legal action themselves.

But class actions are not without their critics. Some business representatives argue that class action claims do little to compensate consumers, with law firms and litigation funders often taking large slices of the damages.

Shares in firms such as Bellway, Persimmon and Taylor Wimpey fell over 2 per cent on Tuesday morning.

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Badenoch blasts 'moaning' female Labour MPs over Burnham jobs 'quota'

Kemi Badenoch has told Labour women to earn a job in Andy Burnham's Cabinet instead of demanding they are handed jobs because of their gender.

The Tory leader lashed out today amid reports that female MPs are demanding the de-facto new prime minister introduce a 50:50 gender split 'quota' in his government.

Amid reports that former foreign secretary David Miliband is being lined up to return to the role, possibly with his brother Ed as Chancellor, one female minister also complained that Burnham could not have 'more Milibands than women' in the top posts.

But in a scathing article in the Times today Mrs Badenoch told them to 'stop moaning' and get chosen on merit instead of retreating into 'more of the failed identity politics that is holding back our country'.

'There are many, many reasons why you shouldn't have any Milibands in the cabinet,' she said.

'But complaining that the boys haven't given them the right jobs or that the boys are taking all the jobs, just shows that Labour's women still don't get it.'

The idea of quotas was also attacked by Baroness Jacqui Smith, Labour's Skills Minister.

Asked by Times Radio if Mr Burnham should reserve jobs for women, she said: 'No, I think what Andy Burnham should be doing is building the very best team around him to change this country.'

A letter written by the Women's Parliamentary Labour Party has called on Mr Burnham to ensure a 50:50 split between men and women in government jobs

Amid reports that former foreign secretary David Miliband (above, right, in 2010) is being lined up to return to the role, possibly with his brother Ed as Chancellor, one female minister complained that Burnham could not have 'more Milibands than women' in the top posts

But Mrs Badenoch told them to pipe down and get chosen on merit instead of retreating into 'more of the failed identity politics that is holding back our country'

A letter written by the Women's Parliamentary Labour Party and seen by the BBC has called on Mr Burnham to ensure a 50:50 split between men and women in government jobs after he succeeds Sir Keir Starmer.

'We are asking you to demonstrate this change from day one and address the toxicity and misogyny within our own party and government,' it said.

Labour has never had a female leader, while the Conservatives have had three, and Mrs Badenoch urged the government to follow its meritocratic example.

'If you run a meritocracy, then you do not have to worry about jobs for the boys,' she wrote.

'Every woman who is a Conservative MP, every woman who has ever won the leadership, has had to fight to get where she is.

'By contrast, Labour women are demanding guarantees from Burnham. But the truth is he doesn't have to give any guarantees.

'If none of Labour's women are prepared to get their hands dirty and challenge him for the leadership, their demands are toothless.'

'In fact, it's quite revealing that the women's parliamentary Labour Party has written to Burnham asking him to commit himself to at least 50 per cent female ministers.

'This has nothing to do with meritocracy. It is yet more of the failed identity politics that is holding back our country.'