Seven house builders have offered to pay a total of £100m following an investigation by the Competition and Markets Authority.

The watchdog launched a probe in February 2024 after uncovering evidence some house builders may be sharing details with their competitors about sales including pricing, number of property viewings and incentives offered to buyers.

The seven – Barratt Redrow, Bellway, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and Vistry – have now agreed to pay £100m which will go towards affordable housing programmes.

They also agreed to work with the Home Builders Federation and Homes for Scotland to develop industry-wide guidance on information sharing and stop sharing sales price details.

The CMA will now decide whether to accept the deal with a decision due by July 24.

If accepted, the commitments “will become legally binding and mean that it is not necessary for the CMA to decide whether the house builders broke competition law – allowing the investigation to conclude swiftly and benefits to be felt quickly.”

The CMA added: “The Parties do not admit any liability or wrongdoing for the conduct subject to investigation.”

Sarah Cardell, Chief Executive at the CMA, said: “Housing is a critical sector for the UK economy and housing costs are a substantial part of people’s monthly spend, so it’s essential that competition works well. This keeps prices as low as possible and increases choice.

“As a result of the CMA’s investigation, house builders are taking clear and comprehensive steps to ensure they comply with the law and don’t share competitively sensitive information with their rivals.

“Alongside these measures, the house builders we investigated have agreed to pay £100 million towards affordable homes programmes, which will help communities up and down the country.”