Britain's biggest housebuilders pay £100m over collusion claims
The developers have offered to pay the Competition and Markets Authority (CMA) after it discovered evidence last year suggesting that 'commercially sensitive' information was being shared between the competitors.
That information included pricing, property viewings and incentives offered to house buyers, such as kitchen upgrades and stamp duty contributions.
If the CMA accepts the payment, it will drop its investigation without reaching a decision on whether there was any wrongdoing.
The £100m would be channelled into funding pots for affordable homes in England, Scotland, Wales and Northern Ireland, and is the biggest payment that has been offered to the CMA to date.
The builders – Barratt Redrow, Bellway, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and Vistry – have also agreed to legally binding commitments to work with the Home Builders Federation and Homes for Scotland to develop industry guidance on information sharing.
Under the package, Barratt Redrow has agreed to pay £29m, while Taylor Wimpey would pay £15.8m and Persimmon £15.2m. Bellway has offered to contribute £13.5m, and Vistry would pay £12.8m.
The CMA has begun a consultation on whether to accept the payment, a process ending on July 24.
Anti-competitive behaviour crackdown
Speaking on BBC Radio 4's Today programme, Sarah Cardell, chief executive of the CMA, said the payment would 'go to the people who need it the most'.
'We don't have to reach a conclusion in this case that there has been an infringement,' she said.
When asked whether people had overpaid for a house because of housebuilders sharing data, Ms Cardell said that was the reason the CMA had secured the payment.
She said: 'It will bring hundreds more affordable homes to the UK market immediately, which is a much better resolution than a long and complex investigation.
'We are committed to tackling anti-competitive behaviour and that is exactly what we are doing today because we have moved swiftly and effectively to resolve this case with absolute clarity.
'The housebuilders are in no doubt about what they need to do to comply with the law.
'People can be confident now when they go out and look at new houses today; tomorrow, they can be confident that there is no anti-competitive behaviour and we will see hundreds more affordable homes come to market.'
The housebuilders offering the settlement said in individual statements that the settlement offer did not amount to an admission of wrongdoing and said they would continue to work with the CMA.
Jennie Daly, chief executive of Taylor Wimpey, said the closure of the CMA's investigation 'will allow us to focus our efforts on delivering much-needed homes across the country '.
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