Condition 17 Explained In More Detail

Financial protection must be provided not just offered. This can be provided by the CPS operator or by the members. The condition is that appropriate financial protection must be provided and it is the responsibility of the CPS operator to arrange it. The purpose of this condition is to protect the consumer in the event of installer going out of business. All Building Regulation work for which the CPS operator is authorised must be covered by the protection provided.

DCLG has further clarified (Reference communique issued by DCLG on 10th December 2013) that the financial protection referred to in condition 17 should be offered as an option to local authorities and housing associations. This offer must be made to ensure that those organisations that may wish to take up this financial protection have the opportunity to do so.

References to ‘work’ in DCLG and Welsh Government Conditions of Authorisation

Various references in the conditions of authorisation to "work", "members' work" (condition 12), "work to dwellings" (17), "scheme work" (18), "completed work required under the scheme" (19 & 21) all refer to dwellings that falls within the scope of the scheme.

However, if a scheme operator undertakes a periodic random inspection of a member's work under condition 12 and notices that any controlled work (outside the scope of the scheme) is not compliant with the Building Regulations DCLG and the Welsh Government would at least expect the CPS operator to point it out to the scheme member.