Npower in property move

CONVEYANCING COMPETITION: utilities giant enters homes market with Leicester law firm

Solicitors dealing in the residential property market have a new rival on the horizon, as utilities giant Npower prepares to launch a conveyancing service next spring.

Npower Conveyancing will offer a seven-day service, 'competitive' prices and 24-hour Internet access so customers can track the progress of their transactions.

A Leicester-based law firm, MHM Solicitors, and a separate but associated firm of licensed conveyancers, MHM Property Lawyers, will do work for the company, initially available only to Npower customers.

This means they can act on both sides.

The infrastructure and commercial parts of the enterprise are provided by conveyancing company The Move Factory, in which Npower bought a 60% share last July.

It also provides property services through other businesses, such as its consumer branch MyHomeMove.

MHM works exclusively for these businesses.

An Npower spokeswoman said: 'We believe that the working hours of traditional solicitors have left a gap in the market that we hope to exploit.

Npower will offer a modern-day approach to conveyancing with added value over solicitors.'

She continued: 'The idea is to offer a one-stop shop to customers and to be seen as a complete home services organisation - not just a utility company.

The service will be quicker than law firms offer, at competitive rates and have electronic access so customers can keep track of the deal progress.'

However, Denis Cameron, chairman of the Law Society conveyancing and land law committee, hit back at suggestions that solicitors slow down the property-buying process.

'It's nonsense to say that solicitors take a long time to complete the process.

It is things such as mortgages, searches and a lack of honesty between vendors and purchasers that hold up proceedings,' he said.

'I think the service people get from solicitors is astonishing, for the charges they pay, which are among the cheapest in Europe.

'I also think the public trust an out-and-out law firm more than they would a company,' he added.

'I don't see how a large organisation can make conveyancing more profitable; they will probably utilise the service to sell other products in their portfolio.'

Law Society chief executive Janet Paraskeva said: 'The Law Society, and solicitors generally, are spearheading ways to speed up the conveyancing process, but it is vital that the quality of service is not sacrificed for clients making possibly the biggest financial decision of their lives.'

Meanwhile, Countrywide Property Lawyers - the licensed conveyancers working for and formed by estate agent giant Countrywide Assured Group - has invested 10 million in developing a new IT system with the aim of having 10% of the market within five years.

Andrew Towler