Developers face CMA action over consumer law breaches

28 Feb 2020

Enforcement action against residential developers for serious leasehold mis-selling is to be launched by the Competition and Markets Authority (CMA).

The UK’s competition watchdog said it has uncovered “troubling” evidence of potential mis-selling and unfair contract terms in the leasehold housing sector, with buyers “being taken advantage of”.

The CMA expressed concern that checks and balances that should have protected homeowners from potentially harmful terms and practices were ineffective.

It follows a probe by the regulator into leasehold housing following concerns that leasehold homeowners have been unfairly treated, and prospective buyers misled by housing developers.

The inves...

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