Seven of the UK's largest housebuilders have offered a combined £100 million settlement in response to a Competition and Markets Authority (CMA) investigation into alleged information sharing practices that raised competition concerns.

The CMA launched the probe last year amid suspicions that Barratt, Redrow, Bellway, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and Vistry had exchanged commercially sensitive information. This included pricing details, number of property viewings, and incentives offered to homebuyers, such as upgraded kitchens and stamp duty contributions.

To address the concerns, the companies have proposed a package of commitments that the CMA is now consulting on until 24 July 2025. If accepted, the measures would be legally binding and bring the investigation to a close without a formal decision on whether competition law was breached.

Under the proposed commitments, the housebuilders will:

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• Pay a record £100 million – the largest settlement ever secured by the CMA through commitments – to support affordable housing programmes across England, Scotland, Wales, and Northern Ireland.

• Collaborate with the Home Builders Federation and Homes for Scotland to develop industry-wide guidance on responsible information sharing.

• Cease sharing certain types of data with rival firms, particularly on house sale prices, except in limited and clearly defined circumstances.

The settlement aims to benefit communities by directly funding the construction of hundreds of affordable homes, targeted at low-income households, first-time buyers, and vulnerable individuals.

The CMA emphasised that robust competition in the housing market is vital to keep prices fair, improve quality, and ensure the timely delivery of infrastructure. It said this outcome serves as a warning to others that anti-competitive behaviour will be investigated and addressed.

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, housebuilders 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 housebuilders we investigated have agreed to pay £100 million towards affordable homes programmes, which will help communities up and down the country."

If no further concerns are raised during the consultation, the commitments are expected to be finalised later this summer.