Bought a new-build home? You could be in line for £6,200

People who have bought a new build home could be paid up to £6,200 if a new class action against Britain's largest housebuilders is successful.

Seven of Britain's largest housebuilders are facing the £4.5billion action because lawyers claim that their 'anti-competitive' practices led to higher house prices for buyers.

Mark McLaren, a former legal affairs manager at the consumer group Which?, is leading the claim against Barratt Redrow, Bellway, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and the Vistry Group.

Legal action was launched on Tuesday by solicitors for the claimant on behalf of more than 700,000 consumers who purchased new-build homes between October 2015 and 24 June this year.

McLaren, who is being represented by competition law firms Geradin Partners and Hausfeld as co-counsel, believes each affected homeowner could be due compensation of between £3,100 and £6,200 each, totalling between £2.2billion and £4.5billion.