Scots warned about spray foam removal scams

Glasgow, Scotland – August 08, 2024:

***Case studies included below***

Scots have been urged to be on their guard against cowboy firms trying to cash in on home insulation scams by falsely claiming they have ties to consumer watchdogs.

Advice Direct Scotland, which runs the free consumeradvice.scot service, has seen a surge in complaints from homeowners about offers to tackle botched and mis-sold spray foam insulation.

The charity has received calls from across the country reporting companies suggesting they are working with Trading Standards in an attempt to appear legitimate.

Experts are concerned that the same rogue traders who originally misled consumers by selling them spray foam may now be sharing customers’ personal information – or even rebranding themselves so they can swindle the same people again.

An 86-year-old man from Glasgow and elderly couples from Dundee and Stenhousemuir were alarmed after receiving apparently identical letters and, in some cases, phone calls.

Between them, they had already paid nearly £13,000 for work before receiving the latest suspicious correspondence, prompting them or their family members to seek advice.

Trading Standards Scotland (TSS) made it clear that it is not working with any spray foam removal companies.

Advice Direct Scotland stressed the importance of thoroughly researching companies before agreeing to any work and encouraged homeowners to find vetted traders.

Earlier this year, TSS warned about spray foam scams after a 42 per cent rise in incidents in 2023, costing Scottish homeowners £500,000.

Cold-callers often promise a free loft survey, then claim to detect damp or mould and suggest spray foam installation as the solution.

However, this product can cause issues in timber-framed roofs. If installed incorrectly, it reduces air circulation, leading to damp and rot.

Removal is also difficult and costly, averaging £3,200 for a three-bedroom detached house. Some mortgage lenders refuse loans or equity release until the spray foam is removed due to potential property damage.

A letter sent to homeowners refers to Trading Standards and recent media reports about spray foam mis-selling, and it implies the company has worked alongside “regulatory authorities”.

It states: “Our recent investigations have concluded your property may have had spray foam installed.

“Evidence suggests that properties with this type of insulation may be at risk of increased damp penetration to the roof structure, this may pose a significant threat to property integrity and potential issues with mortgageability and insurability.

“To address this issue and ensure your property’s safety and insurability, we propose a thorough assessment.”
It adds: “We urge prompt access to your property for this vital assessment.”

Advice Direct Scotland has issued key tips for homeowners, including:

• Check if the company has a proper trading address, a landline phone number, and is listed on the National Insulation Association website.
• Get quotes for the work and the price before agreeing to anything.
• Never pay upfront under any circumstances.
• Avoid paying in cash if you can.
• Always ask for a receipt.
• If the work is not up to standard, do not pay until all issues are fixed.
• Make sure any guarantees are backed by insurance.

Scots have also been encouraged to seek reputable traders, with vetted options available at www.approvedtrader.scot.

Free, impartial and practical advice is available to anyone in Scotland through Advice Direct Scotland’s consumeradvice.scot service.

Consumers can report a scam and seek help through various means, including freephone at 0808 164 6000, as well as online, web chat, and email at www.consumeradvice.scot.

Hazel Knowles, Senior Project Lead at Advice Direct Scotland, said:

“We have received numerous complaints from individuals contacted by traders regarding spray foam loft insulations, claiming to represent Trading Standards and offering removal services.

“By using the Trading Standards name and implying links to authorities, these firms are trying to take advantage of consumers.

“As awareness of the potential problems with spray foam grows and homeowners face difficulties in selling their properties, it is understandable that people are eager to find solutions, especially if grants or financial support are offered.

“We are concerned about potential links between those offering removal services and the rogue traders who initially installed the foam spray insulation.

“We urge consumers not to deal with cold callers or engage with such letters.

“Instead, seek traders vetted by Trading Standards who have made a commitment to fair treatment through approved trader schemes.

“While we have not heard of anyone losing more money, those who have not sought advice may still be at risk from rogue traders.

“Consumers who are concerned or need help should contact one of our specialist consumer advisers for free, impartial, and practical advice on 0808 164 6000 or www.consumeradvice.scot.”

Fiona Richardson, Chief Officer of Trading Standards Scotland, said:

“Trading Standards services are not currently working with any spray foam removal companies in Scotland.

“Any communication suggesting otherwise is likely to be a scam.

“Consumers who feel they have been misled into having spray foam insulation installed should avoid responding to letters or cold callers offering to remove the insulation.

“We advise consumers in this situation to report any unsolicited letters which mention a partnership with Trading Standards to Advice Direct Scotland.”

CASE STUDIES

David Adams, 86, paid £5,400 to a company to install spray foam insulation in November 2023.

The widowed grandfather of four proceeded with the work after being cold-called at his home in Glasgow and told there was dampness in the loft.

David had no concerns until he received a letter in January from another company, suggesting they were working with Trading Standards and action was needed.

This firm also called his mobile, despite him never sharing his contact details, prompting him to get in touch with Advice Direct Scotland.

David, a retired steel industry supervisor, said: “I was sure the company was OK. They had all these posh brochures. It all seemed very professional, and the work looked legit.

“At no time did I think I was being conned.

“It was only after the horse had bolted that I started finding all the bad things that could be happening.

“When I got the letter from the second company, panic set in. After receiving the phone call, I decided to find out if they were really working with Trading Standards.

“I was told they were not and was asked, ‘How did they get your mobile number?’

“It was a question I should have asked at the time. By now I was suspicious that this lot were in it together.

“One puts the insulation in, the other takes it back out, and they share the money. It is sad and worrying.”

David and his son, a lawyer, are in the process of hiring a surveyor to check the spray foam work.

A 78-year-old woman and her 80-year-old husband paid £2,800 for spray foam insulation in the loft of their home in Stenhousemuir in March 2023.

In May of this year, the couple, who have asked not to be named, received a letter from another company suggesting that it had been working alongside Trading Standards.

The letter urged them to make an appointment to check the insulation, and the company also phoned them to secure the booking.

However, their son stepped in to cancel the appointment after contacting Advice Direct Scotland.

He said: “Everything seemed alright with the work, although I’m uncertain if it was done correctly. I understand the potential issues if it’s improperly installed, and we’re currently seeking further professional advice.

“When I received the letter, alarm bells immediately started ringing. The tone of the letter was overly aggressive, almost scaremongering.

“After they followed up with a call, I contacted Advice Direct Scotland, who clarified that the company was not affiliated with Trading Standards.

“I cancelled the appointment immediately. I wouldn’t be surprised if they got my parents’ details from the people who actually did the spray foam in the first place.

“It is diabolical how some companies target older people, appearing totally professional and legitimate.”

A couple in their 70s, from Dundee, paid £4,561 for spray foam insulation in September 2023 after receiving a cold-call offering a loft inspection the following day.

They agreed to the work after being shown photographs and were informed that it was necessary due to the risk of water ingress.
Concerned family members later discovered that the contractors had foamed over skylights.

A builder brought in for a second opinion stated that the work was unnecessary, incorrectly done, and that they had been overcharged.

Relatives reported the issue to Trading Standards and have been unsuccessfully pursuing copies of the photographs and other documents relating to the work.

Earlier this year, the couple received a letter from another company suggesting they were working with Trading Standards and may have been mis-sold the insulation.

Their son-in-law, who asked not to be named, said: “We feel my father and mother-in-law have already been taken advantage of. It looks like a scam, and although the work was done, it was substandard and exorbitant.

“Then they received this letter from another company out of the blue, mentioning Trading Standards and suggesting they were working with them.

“They said they would come out and inspect it and give advice.

“It set alarm bells ringing because we did not know how they got their details.

“The only way they could have got that information was from the company that did the work.”

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NOTES

consumeradvice.scot is Scotland’s national consumer service run by the charity Advice Direct Scotland. Consumers can seek help in a number of different ways: freephone 0808 164 6000; and online, web chat and email at www.consumeradvice.scot Monday to Friday, 9am to 5pm.