15 June 2006
15 June, 2006
Rightmove welcomes detailed regulations for Home Information Packs
Rightmove plc welcomes the government's detailed regulations for the
implementation of Home Information Packs (HIPs) announced on 14th June 2006.
These regulations set out the precise details of the content of a HIP, the
regulatory environment in which HIPs will operate and how the transition will
take place to the mandatory requirement for all sellers of homes to have a Pack
from June 2007. They supplement the primary legislation passed as part of the
2004 Housing Act.
Paul Creffield, MD of Rightmove's Home Information Packs business comments:
'We welcome the clarification and increased certainty that these detailed
regulations bring. We can now press on to full implementation of the Rightmove
HIPs proposition as planned'
Rightmove's business plan had conservatively assumed that there would be a rush
to market properties ahead of the implementation date, thus avoiding the need
for a HIP and that the remainder of 2007 would see a reduced level of activity
before volumes returned to their long-term trend in 2008. However, the
regulations contain a provision that requires any property which came onto the
market prior to June 2007, and is still being marketed as of 1st November 2007,
to have a HIP in order to continue to be marketed thereafter. As a result,
Rightmove now anticipates a higher demand for HIPs during 2007.
'Our view of the long-term commercial opportunity afforded by the introduction
of HIPs is unchanged but we believe the provision of this back stop date is
likely to create a demand for an extra 300,000 to 400,000 HIPs across the market
in 2007' adds Paul Creffield. 'With our ongoing investment in highly automated
HIPs production technology, Rightmove is well placed to take advantage of this
increased demand for HIPs in 2007.'
- ENDS -
Maud Rousseau +44 (0)20 7318 9095
Neil Bennett / Brian Hudspith +44 (0)20 7379 5151
This information is provided by RNS
The company news service from the London Stock Exchange