Construction trade websites need an overhaul, says regulator

Construction trade websites need an overhaul to ensure they comply with consumer law, an industry watchdog has warned.

The conduct of trader recommendation sites, which allow customers to connect to traders, has been analysed by the Competition and Markets Authority (CMA).

Partnered with four consumer organisations the CMA found several concerns that had the potential to cause harm to consumers.

In order to remain compliant with consumer law the CMA has highlighted the following issues trade sites must address:

• Making potentially misleading claims/creating the misleading impression.
• Missing appropriate vetting or verification processes in place for traders using their site.
• failing to deal appropriately with and sanction problematic traders not operating effective and accessible complaints processes.
• presenting consumer reviews in a misleading way/failing to take appropriate steps to remove fake reviews.

The CMA drafted advice to help sites understand their obligations:

• Ensure claims about services and traders are clear, accurate, and not misleading.
• Conduct appropriate checks before traders are allowed to advertise on their site.
• Have accessible, transparent, and effective complaints processes.
• Effectively monitor the performance of traders on their site.
• Act effectively on issues highlighted by complaints or monitoring activities, including Imposing sanctions.
• Have an effective, transparent and impartial process concerning online consumer reviews.

George Lusty, interim executive director for consumer protection, said: “We’ve seen worrying evidence suggesting people could be misled into thinking these sites actually check traders – and will take action when things go wrong – which isn’t the case.

“That’s why we’re creating advice: to make sure trader recommendation sites know what their obligations are under consumer law and what they need to do to protect people using their sites.”

In 2018, a BBC investigation revealed that there were very few checks in place to prevent an undercover reporter signing up and awarding themselves a ‘reliable-looking’ five star rating and positive feedback on the website MyBuilder.

Mike Andrews, national coordinator for the National Trading Standards eCrime Team, said: “We are working with the CMA, and other trading standards partners, to make sure consumers get better protection and service from trader recommendation sites.”

CMA partners: 

• National Trading Standards (NTS)
• Trading Standards Scotland (TSS)
• The Society of Chief Officers of Trading Standards in Scotland (SCOTSS)
• Northern Ireland Trading Standards (TSNI)

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