Government suspends HIPs

The government has suspended the use of Home Information Packs (HIPS), following pledges made in both the Conservative and Liberal Democrat pre-election manifestos to scrap them.

The suspension, which comes into effect from midnight on Friday 21 May 2010, anticipates primary legislation to abolish HIPS entirely later this year.

Law Society President Robert Heslett has welcomed the decision, saying: "The Society has regularly argued that HIPs have led to increased costs and a host of cross-selling initatives that were not in the consumer's interest.'

While possession of an Energy Performance Certificate (EPC) is currently a requirement of EU law, from 22 May 2010, properties will no longer need to hold an EPC prior to marketing for sale as is currently required in the UK.  Instead, sellers will only need to demonstrate that an EPC has been commissioned.

The Law Society has taken the opportunity to emphasise the 'gatekeper' role of solicitors in the residential conveyancing process, and has suggested that information on properties prior to purchase should be made available in a standard format series of documents, prepared by a solicitor.