Several of the UK's largest housebuilders face a £4.5bn legal claim over alleged anti-competitive behaviour, brought on behalf of 700,000 people who purchased new homes between October 2015 and June 2026.

The legal action, being led by Mark McLaren, former parliamentary and legal affairs manager at Which?, alleges that consumers had to pay higher prices for new-build homes due to anti-competitive practices that saw housebuilders share sensitive pricing and sales information.

Housebuilders named on the claim include Barratt Redrow, Bellway, Redrow, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey, Vistry Group and Countryside Partnerships.

The case must be approved by the Competition Appeal Tribunal before a date for a High Court hearing can be set.

The value of compensation sought is estimated at between £2.2bn and £4.5bn, equating to between £3,100 and £6,200 for each affected homeowner. McLaren is being represented by competition law firms Geradin Partners and Hausfeld and funded by Burford Capital, which has committed up to £29m to the proceedings.

McLaren said: “Buying a home is one of the biggest financial commitments most of us will make. If, as seems to be the case, housebuilders shared sensitive pricing and sales information with one another instead of competing properly, homeowners across Britain may well have been left out of pocket as a result.

“This claim is about standing up for those buyers and ensuring that compensation is delivered to those who deserve it.”

Last October, a Competition and Markets Authority investigation into housebuilders’ conduct between 2022 and 2024 resulted in a number of companies accepting binding commitments not to share sensitive commercial information and making a £100m contribution to affordable housing initiatives.