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The UK's Competition and Markets Authority (CMA) has officially closed its investigation into seven leading housebuilders Barratt Redrow, Persimmon, Taylor Wimpey, Bellway, Berkeley Group, Bloor Homes, and Vistry Group after accepting binding commitments to address concerns of possible anticompetitive conduct. The firms have jointly agreed to contribute GBP 100 million (USD 134 million) to affordable housing schemes, stop sharing confidential pricing information, and strengthen compliance systems. The CMA decided to close the case without concluding whether competition law had been breached, marking the end of a months-long inquiry.
The UK competition regulator has accepted binding commitments from seven major housebuilders to resolve concerns about possible anticompetitive behaviour in the housing sector. The companies involved-Barratt Redrow, Persimmon, Taylor Wimpey, Bellway, Berkeley Group, Bloor Homes, and Vistry Group-will contribute a combined GBP 100 million (approximately USD 134 million) to affordable housing programmes across the country. Advertisement
As part of the agreement, the developers have committed not to share sensitive commercial data, including information on property prices, sales targets, buyer incentives, or development plans. They will also work with recognised industry associations to draft formal guidance on information sharing and to introduce stronger compliance and training measures within their organisations.
The CMA's probe began after it identified signs of information sharing during its earlier market study into the UK housebuilding sector. That study, launched in February 2024, had raised concerns that exchanges of data between developers could reduce competition and limit housing supply growth. Following this, a separate investigation was opened to examine whether large developers had engaged in practices that might distort market competition.
In July, the seven firms proposed a voluntary package of commitments to address the regulator's concerns, which included the GBP 100 million (USD 134 million) contribution. The CMA consulted publicly on the proposal before finalising its decision. After reviewing industry feedback, it has now confirmed that the commitments sufficiently address competition risks and that a full finding of infringement is not required.
Although the CMA closed the case without determining whether competition law was violated, the commitments are legally binding. If breached, the companies could face renewed enforcement action. The regulator noted that the settlement aims to ensure transparency and fair conduct within the housebuilding industry while supporting affordable housing projects nationwide.
The CMA also underlined that this decision does not imply that the companies admitted wrongdoing. Instead, it reflects a regulatory approach focused on forward-looking reforms and improved corporate practices. Some policymakers and housing groups have welcomed the contributions to affordable housing but have urged closer monitoring to ensure the commitments lead to genuine industry change.
By securing these commitments, the regulator aims to set a precedent for fairer competition practices in the UK's housing market, an area often criticised for limited supply and high consumer costs. The CMA said it will continue to monitor compliance and may consider further action if similar concerns arise in the future.
Source Reuters
5th Jun, 2025
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