The Housing Ombudsman has signed a Memorandum of Understanding (MoU) with the New Homes Ombudsman setting out how the two bodies will work with each other.

The NHOS launched in 2022, and more than 100 developers signed up to be part of the scheme, including major housebuilders such as Barratt, Bellway, Persimmon, Redrow and Taylor Wimpey.

The service was established as a voluntary ombudsman scheme by the New Homes Quality Board (NHQB) to provide independent redress for qualifying customers purchasing new homes from developers who are registered with the NHQB. 

The New Homes Quality Code, which is owned by NHQB, sets out the standards of service which purchasers of new homes should expect from their registered developers covering the two-year period from reservation or legal completion, whichever is later. 

Customers can raise a complaint with NHOS in relation to any issue covered by the New Homes Quality Code where the reservation took place after the registered developer became subject to the jurisdiction of the NHOS. 

The new MoU with the Housing Ombudsman sets out the functions of each organisation and describes the arrangements for cooperation and communication between the two bodies in relation to their respective functions.

It is based on the relevant provisions in the Building Safety Act 2022 and the Housing Act 1996, while recognising that the New Homes Ombudsman Service (NHOS) is currently a voluntary scheme.

It also clarifies any potential overlap in the jurisdiction of the ombudsmen to ensure that it is clear to both parties which complaints they investigate.

While the MoU is not a legal or binding agreement, both NHOS and the Housing Ombudsman said they are committed to working in accordance with its provisions, and each organisation committed to taking steps to ensure that their staff are aware of the contents of the MoU.

Representatives from NHOS and the Housing Ombudsman will review the operation of the MoU every three years or after a significant change in legislation, policy or practice for either party to ensure that it reflects any developments and changes in working practices. In due course it is anticipated that the NHOS will be placed on a statutory footing.