HIPs trials 'a farce', say Tories

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Home Information Packs have come under fire after it emerged 80% of buyers who took part in pilot trials either saw them too late, or not at all.

Research into trials carried out before HIPs became compulsory showed only 40% of buyers saw one, and most of them saw it after they had made an offer.

Tory spokesman Grant Shapps said it showed HIPs were a "farce".

The government said the whole point of the trials was to find and correct any problems, which had been done.

Hips, now compulsory for all homes being sold in England and Wales, are intended to speed and improve the sale of homes and give buyers an energy rating for the property.

Trusted information

The report, by Ipsos Mori, looked at trials carried out across England between November 2006 and April 2007, but were only published on Thursday.

It found that 75% of sellers and 40% of buyers had an opportunity to see the property's HIP - but of the buyers that did see them, 55% had already made an offer or had an offer accepted.

It is proving to be a very costly and bureaucratic farce Grant ShappsConservatives

A third of buyers believed, incorrectly, that the property did not have a HIP, the report said.

But it found the majority of buyers trusted the information contained in the HIP, although only 22% of people who sold their properties thought the HIP had helped the sale.

Liberal Democrat housing spokesman Lembit Opik said the research showed HIPs were "not working as they should" and said it should have been published earlier.

Improvements made

"HIPs are now compulsory for all properties coming on the market but ministers have only now given in to our pressure and released the results of these pilot studies."

For the Conservatives, Grant Shapps said: "These results reveal what we and the industry have known all along, HIPs are a complete waste of time.

First-time buyers are receiving important information about their home for free Caroline FlintHousing minister

"With six out of 10 buyers not even seeing the pack and a third not realising they had a HIP at all, it is proving to be a very costly and bureaucratic farce."

A spokesman for the Department for Communities and Local Government said "the whole point of the trials was to identify where the operation of HIPs could be improved - and that's exactly what we've done".

Housing minister Caroline Flint said a public awareness campaign had been launched since the trials and estate agents reminded of their responsibility to hand out the packs.

She said research showed a third of buyers planned to introduce "green" measures suggested by the HIPs' energy performance certificates.

"Search costs are falling as a result of increased transparency in the market. Energy ratings can help people to reduce fuel bills and first-time buyers are receiving important information about their home for free," she said.

Paul Broadhead, of the Association of Home Information Pack Providers, said the pilot studies showed that "property professionals did not engage fully with the process" but where buyers had seen the packs "they liked what they saw and understood the content".