PCC or warranty?
PCC or structural warranty: which do you need?
Both are used to satisfy lenders on new homes, but they are different things. Here is how a PCC and an insurance-backed warranty compare, and how to check what your lender will accept.
The short answer
An insurance-backed structural warranty is a latent defects insurance policy from a warranty provider. Cover typically lasts 10 years from completion, and if a qualifying defect appears you claim on the policy.
A Professional Consultant's Certificate (PCC), sometimes called an architect's certificate, is a signed certificate from a qualified professional who monitored the build at key stages. It is often the more cost-effective option for small projects, but it isn't insurance, and not every lender accepts it for every home.
The names do get mixed up. A PCC is often called a "10 year structural warranty", and you'll see that name on this site. It is still a professional certificate, not an insurance policy.
If the home will be sold or mortgaged and the lender hasn't confirmed that a PCC is fine, find out before you start. If the answer is no, or you want the widest choice of lenders, an insurance-backed warranty is the safer choice. We quote for PCCs, and One Stop Consult, our group, can help you get warranty quotes from a suitable provider, so we'll tell you straight which suits your project.
Side by side
| PCC | Insurance-backed warranty | |
|---|---|---|
| What it is | A professional's signed certificate | A latent defects insurance policy |
| How long it lasts | Ours runs for ten years from completion. UK Finance's standard form has the consultant liable for 6 years from the date of the certificate | Typically 10 years from completion. Some providers offer 12 or 15 |
| If something goes wrong | You look to the consultant and their professional indemnity insurance. You may need to show they were at fault | You claim on the policy, subject to its terms |
| If the consultant or builder stops trading | A claim can be much harder | The policy doesn't depend on them staying in business |
| Inspections | By the consultant at key stages | By the provider's surveyor at key stages |
| When to arrange it | Ideally before work starts. A retrospective route may be possible for eligible homes | Normally must be registered before work starts |
| Lenders | Many accept one, with limits (see below) | Widely accepted, but check your lender accepts the provider and policy |
| Cost | Often lower on small projects | Usually higher |
| Common on | Self-builds, one-off homes and conversions | Larger developer sites |
What each one covers
An insurance-backed warranty
It covers the cost of putting right qualifying defects in the structure, such as the foundations, load-bearing walls, floors and roof structure. Many policies also cover keeping water out. The exact cover, limits and excess depend on the provider and the policy wording, so read them before you buy.
A PCC
It confirms that a qualified professional monitored the work at key stages and, based on those inspections and the information available, considers the home built to an appropriate standard. It's backed by the consultant's professional indemnity insurance. It is not a policy that pays out simply because a defect appears. Our guide to what a PCC is explains the inspections in full.
Will my lender accept a PCC?
Many lenders follow the UK Finance Mortgage Lenders' Handbook, and each lender sets its own rules. These are the ones to watch for:
- Size of site. Some lenders limit how many homes a site can have before they'll take a PCC. Limits we've seen run from 6 to 15 homes, and they change, so check the current figure.
- Who signs it. Some lenders only accept certain professionals, for example an architect registered with the Architects Registration Board.
- Retrospective certificates. Some lenders won't accept a retrospective PCC, or one where the consultant didn't inspect from the start.
- No PCCs at all. Some lenders don't accept them, and criteria can differ between products from the same lender.
- The format. Many lenders expect the UK Finance form. If your lender has its own requirements, send them to us with your enquiry.
What to do: ask your lender, or your buyer's lender, in writing: "Will you accept a Professional Consultant's Certificate for this property?" Do it before work starts if you can. If the answer is no or "maybe", look at a warranty. Our guide to PCCs for a mortgage has more questions to ask.
Which one for your project?
| Your project | A good starting point |
|---|---|
| Self-build you'll live in, lender happy with a PCC | A PCC can be a good fit and often costs less |
| Self-build you may sell within 10 years | Think about your buyer's lender as well as your own. A warranty keeps more options open |
| Conversion creating a few homes | Either can work, depending on the lender. Check first |
| Small development for sale | Check lenders' limits on site size. A warranty widens the buyers who can get a mortgage |
| Larger site | A warranty is more usual, as many lenders limit PCCs by site size |
| Work already started or finished | There are fewer options. Talk to us early, and check with your lender before paying for anything |
See project types for how a PCC works on each kind of build.
How we help
- Tell us about the project: the address, the drawings, how far the work has got and who is asking for the certificate.
- We review what you send and confirm what's needed, with a fixed quote.
- Inspections happen at key stages as you build: foundations, floor, superstructure and roof.
- We check the completion evidence and Building Control sign-off, and the certificate is issued for your solicitor, buyer or lender.
Common questions
Frequently asked questions
Is a PCC the same as an architect's certificate?
Yes. "Architect's certificate", "PCC" and "CML certificate" all mean the same thing. It doesn't have to be signed by an architect: a chartered surveyor or structural engineer can sign one too, though some lenders insist on an architect. See our architect's certificate guide.
Is a PCC cheaper than a structural warranty?
Often, yes, particularly on small projects. But it isn't insurance, so compare what you get as well as the price.
How long does a PCC last?
Our certificate runs for ten years from completion. UK Finance's standard PCC form has the consultant liable for 6 years from the date of the certificate, so ask your lender or solicitor if they need that form.
Can I switch from a PCC to a warranty later?
Not easily. A warranty normally has to be registered before work starts, and it can be harder to get once a build is finished. Decide before you start if you can.
Does Building Control sign-off replace either of them?
No. A completion certificate shows the work was signed off under the Building Regulations. Lenders and conveyancers normally expect it as well as a PCC or warranty on a new home.
My buyer's lender has turned down my PCC. What now?
Talk to us as soon as you can and tell us what the lender said. What's possible depends on the lender and how far the build has got, and the sooner we know, the more choices there are.
Not sure which one you need?
Tell us about the project and who's asking for the certificate. We'll tell you what fits and come back with a clear, fixed quote.