A new survey by the Federation of Master Builders (FMB) has revealed a staggering 37% of adults in Britain have hired a builder who turned out to be unreliable or unqualified, with homeowners losing £14.3bn to cowboy builders in the past five years alone.  

This data comes after the Energy Security and Net Zero Parliamentary Committee backed a licensing scheme for retrofit installers to protect consumers against dodgy work. It also follows the launch of the FMB’s Licence to Build report in the House of Lords in May this year, highlighting a potential system to licence builders. 

The survey paints a picture of a building system under pressure: 

  • 44% believe there are fewer builders available now than five years ago 

  • 85% say the cost of hiring a builder has gone up, with nearly half of those saying it’s risen “a lot” 

  • 37% of homeowners have delayed planned renovations due to builder costs or availability 

  • 34% even resorted to doing the work themselves 

  • 16% gave up on their projects entirely 

When people do manage to hire a builder, they often pay the price in other ways: 

  • 35% were hit with unexpected extra costs 

  • 22% saw their jobs left unfinished 

  • 33% received poor quality work 

  • 15% of UK adults have lost money in the past 5 years alone - averaging £1,759 per person 

A System without Safeguards 

The FMB is campaigning for the introduction of mandatory licensing for building companies as there is currently no scheme in place to protect consumers - meaning anyone can trade without checks on their skills or experience. Many homeowners wrongly assume safeguards already exist: nearly half believe builders must be licensed, and 81% support mandatory licensing of builders. Licensing would raise standards, rebuild trust, and unlock renovation work. 

The FMB is urging the Government to introduce mandatory licensing across all domestic building work. As part of the FMB’s licensing campaign, numerous victims have come forward to share their experiences with rogue builders, highlighting the urgent need for stronger industry protections. 

One victim told the FMB their experience with a cowboy builder made them want to take their own life. They said: 

“After my mum passed away from cancer, I was grieving and vulnerable and unwittingly trusted a builder recommended by a neighbour to build an extension that was originally intended to be a place to care for mum. I wanted to go ahead in her memory. It was a disaster. The builder quoted £68,000 but was paid £72,425 challenging me to trust and work with him; however when I finally stopped work due to a request for an additional £12,000, the work was so substandard that my home was condemned. He ignored building inspectors, lied and laid blame on me. 

“My insurance wouldn't help. Trading Standards dismissed it as a civil matter despite the police offering to work with them, even though through my own belated research I found this man has a history of dissolving companies to avoid paying debts. 

The stress was unbearable and I attempted suicide. I felt then and still do, utterly betrayed by every organisation or institution that is supposed to support and prevent these criminals. Eventually I had to pay another builder £98,000 to fix the mess, remortgage my home and rely on my family to survive. My twilight years are now overshadowed by debt. I implore the government to act. We need regulation to stop these criminals from destroying lives." 

Brian Berry, Chief Executive of the Federation of Master Builders, said: 

“This research lays bare the scale of damage caused by poor standards and a lack of accountability in the building industry - from botched jobs and lost savings to deepening public mistrust. We urgently need a licensing system for domestic building companies that ensures only competent builders are allowed to trade. Licensing would protect consumers while also supporting reputable builders by ensuring a level playing field. 

“Licensing building companies would raise standards across the building industry and give homeowners the confidence to carry out home improvements. The public has had enough of cowboy builders - it’s time for change.” 

– ENDS – 

Notes to editors: 

  • Research conducted via a nationally representative survey of 2,051 UK adults, in line with British Polling Council standards. 

  • The £14.3 billion national loss figure is based on 15% of UK adults reporting a financial loss to a rogue builder in the past five years, with an average loss of £1,758.80 per affected person. 

  • For interviews, regional breakdowns, or case studies from across the country, please reach out to: IonaStewart-Richardson@fmb.org.uk