Building on sand?

By Jayne Warren - 14/02/2008

Botched building work happens every day. So when he planned to have a small extension built, “Mr A” took the precaution of putting the work through a member of the Federation of Master Builders, with the work “underwritten” by a MasterBond insurance policy – which is authorised and regulated by the Financial Services Authority.

 

“Unfortunately, the work done, the attitude and actions taken by the builder has been most unsatisfactory,” he says. “I have a long list of examples, but the first one was the builder burying asbestos into the foundation!”

 

The builder refused to complete the necessary works to the plan and reasonable standard, and eventually the FMB agreed to employ a Chartered Surveyor to review the work completed by the builder. The surveyor’s written report states that “much of the work in evidence is of a poor standard”. There is also a long list of things that need to be put right.

 

The FMB then wanted to re-employ the original builder to complete the work. “How stupid!” says Mr A. “It isn’t in their interests nor mine for the FMB to insist on using the original, totally incompetent builder. Moreover, the FMB supported this builder with a “Trustmark” which is incredible - this Trustmark is worth nothing.”

 

We contacted the Guardian newspaper - who had written an article on Masterbond in February 2007. In the words of Guardian journalist Miles Bignall: “The FMB promises homeowners they ‘won't lose any sleep’ if they take out its MasterBond insurance cover. But one couple who paid £1,300 for the policy say the cover is worthless after enduring ‘two years of hell’ at the hands of an FMB-approved builder.”

 

Miles found plenty of other people who had suffered appalling standards of “bodged building work by FMB builders - and all complained that the FMB was not interested in helping them with their complaint against its member. Even FMB builders themselves contacted us to raise concerns.”

Mr A’s son was advised by the FMB that “by not allowing the builder to return, your policy is no longer in force.” He told us: “So it's an incompetent builder or nobody. Even worse, the builder has now been suspended from the TrustMark scheme by the FMB - but the FMB still feel he is trustworthy to complete the work!”

 

We asked the FMB for their response. Their Brian Berry told us: “The FMB is very sorry and concerned that this gentleman has received a less than satisfactory service from one of our members . The vast majority of clients who use the services of FMB members are satisfied with the standard of our members’ work.

 

“We are doing all we can to find a satisfactory outcome. However, our actions have been limited to what we can legally do under the conditions of the ‘Master Bond Warranty Scheme’, which Mr A took out. This is underwritten by an insurance company which is authorized and regulated by the Financial Services Authority. The terms of the policy mean that if the builder in dispute is still trading then the contractual liability to put right the works remains with the original builder.”

 

The FMB has promised that the builder would be supervised by a professonal Chartered Surveyor - but Mr A is simply asking for someone he can trust to do the work. It hardly seems unreasonable.

 

The latest development is that the insurer has offered to make a goodwill payment of £4375, without admission of liability, to complete the outstanding works.