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Government Updates · 30 August 2026 · 6 min read

Government crackdown on cowboy builders:what professional builders need to know

The UK Government has announced new measures aimed at improving consumer confidence in the home-improvement sector and making it easier for reputable trades and building businesses to demonstrate higher professional standards.

The measures include a new Approved Code for the home-improvement sector and a protected milestone-payment system.

For professional builders, the direction of travel is clear: transparency, documentation, customer service and professional business procedures are becoming increasingly important.

What is the new Approved Code?

The new home-improvement Approved Code is being developed within the Chartered Trading Standards Institute Approved Code Scheme framework.

Businesses participating in an Approved Code are expected to demonstrate enhanced standards around areas such as customer service, transparency and dispute resolution.

The new initiative is currently voluntary and should not be confused with compulsory builder licensing.

Important

The Government has not announced compulsory licensing of builders as part of this initiative.

Builder Standard will continue to monitor developments as more detailed requirements are published.

Protected milestone payments

One of the major changes being introduced is a protected payment approach based around agreed project milestones.

Instead of relying solely on traditional deposits and stage-payment arrangements, the emerging model aims to give homeowners and contractors greater transparency around when project stages have been completed and when payments become due.

  1. 01

    Contract

  2. 02

    Agreed milestones

  3. 03

    Project evidence

  4. 04

    Customer confirmation

  5. 05

    Payment

Builder Standard does not hold, control or release customer funds.

Why project evidence matters

Milestone-based project management works best when both parties have a clear evidence trail.

That means recording what was agreed, what work has been completed, what changed during construction and what documentation supports each stage.

This is one of the reasons Builder Standard Project Passports are designed around structured project records from contract through to completion.

Document the work.
Prove the milestone.
Protect the project.

Explore Project Passport

What professional contractors can do now

  • Issue a written contract, scope and exclusions on every project
  • Agree payment stages against defined milestones rather than vague dates
  • Record variations in writing, with a value, before the work is carried out
  • Capture dated photographic evidence at each stage, particularly work later concealed
  • Keep Building Control, inspection and certification records with the project file
  • Publish a written complaints procedure with clear timescales and an escalation route
  • Produce a structured handover pack at completion

Sources & further reading

This article is editorial information for professional contractors, not legal advice. Builder Standard is an independent commercial platform. It is not a government body, statutory regulator or the Chartered Trading Standards Institute Approved Code Scheme, and it is not affiliated with any third-party scheme.

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