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The Home Information Pack Regulations 2006
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Permitted limits for newly built properties
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15.—(1) This paragraph applies to a property newly built from foundations.
(2) The total amount of any payments, financial compensation or costs of remedial work arising under the new homes warranty may, in relation to the property, be limited to—
(a)£500,000 plus the annual increment; or
(b)the value of the property at the time the sale of the property was completed plus the annual increment.
(3) Where the property forms part of a continuous structure, the total amount of any payments, financial compensation or costs of remedial work arising under all the related new homes warranties may be limited to £10,000,000 plus the annual increment in relation to all the premises which form part of the continuous structure.
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