This is interesting….

New figures released by the Conservatives show that around two million vendors have paid a combined total of £657.6 million since the controversial scheme was launched amid opposition from estate agents in August 2007.

Also known as Sellers’ Packs, HIPs have raised £94 million for Government coffers in the form of VAT which must be paid on the information bundles containing searches and surveys which all vendors must produce before putting their property up for sale.

Doesn\’t sound like very efficient tax raising really, does it? But this is the fun bit:

\”HIPs will be history under a future Conservative Government, with only the useful energy performance certificate surviving.\”

You mean that the Tories will keep the one part that the European Union insists must be there? That they\’ll say that what they cannot get rid of will be \”useful\”?

5 comments on “This is interesting….

  1. From the article

    “HIPs were designed to speed up property transactions by reducing gazumping but were heavily opposed ahead of their introduction by estate agents and surveyors. ”

    Weren’t HIPs an attempt to make an inefficient market more efficient or was this just cover ?

  2. Weren’t HIPs an attempt to make an inefficient market more efficient or was this just cover ?

    I suspect the real reason is the compilation of another one of those vast New Labour databases that can be re-purposed (in the usual mission-creep way) to become a basis for local taxation. You can see it coming: those who hurt Gaia the most should pay the most.

  3. Most of the industry opposition seemed to me to be people who’d loose out from a more efficient housing marketing – estate agents and surveyors.

    Take your point about databases though.

  4. HIPs were a good concept – trying to ensure house buyers had all the information available to them when considering a property. However the Government (yet again) wimped out of implementing the full version due to the opposition from Agents and mainly Surveyors and Solicitors. So the Home Condition Report was removed and the packs became meaningless apart from the EPC of course. Watch this space though the EPC rating for a property could yet be used to determine Council Tax banding as an additional tax – even under the Tories !!

  5. I thought the real reason that the HCR wasn’t implemented was that mortgage lenders wouldn’t accept it and buyers would end up paying twice for the same info?

    As long as caveat emptor prevails anything the buyer provides is a waste of money.

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