Regulations

LBP Explained: Why Your Builder Needs a Licence

7 min read

If you are hiring a builder in New Zealand, one of the first things you should check is whether they are a Licensed Building Practitioner. Here is why it matters and how to verify it.

What Is an LBP?

A Licensed Building Practitioner (LBP) is a builder who has been assessed and licensed by the New Zealand government under the Building Act 2004. The LBP scheme is administered by the Ministry of Business, Innovation and Employment (MBIE) through the Building Performance branch. LBPs must demonstrate competence in their specific licence class and maintain their skills through ongoing professional development.

Why Does It Matter?

Under New Zealand law, restricted building work (RBW) on homes and small-to-medium apartment buildings must be carried out or supervised by an LBP. Restricted building work includes primary structure (foundations, framing, load-bearing elements), external moisture management (roofing, cladding, windows, doors, and their flashings), and fire safety systems. If non-restricted work such as interior painting or cosmetic finishes does not affect the structure, weathertightness, or fire safety of the building, it can be done by anyone. But for the critical elements that protect the integrity of your home, an LBP is legally required.

LBP Licence Classes

There are several LBP licence classes. Carpentry covers framing, roofing, cladding, and interior fit-out of timber-framed buildings. Roofing covers roof installation and repair. External plastering covers the application of plaster and texture coatings to exterior walls. Brick and block laying covers masonry construction. Foundations covers concrete and foundation work. Design covers building design (there are three design licence levels based on building complexity). Site covers overall construction project management. A builder may hold one or more of these licence classes depending on their skills and experience.

How to Verify an LBP

You can check any builder's LBP status for free on the Building Performance website (building.govt.nz). Search by name or LBP number to see their licence classes, current status, and whether they have any disciplinary history. A legitimate LBP will have no issue providing their licence number. If a builder is reluctant to share this information, consider it a red flag.

What Happens If You Use an Unlicensed Builder?

Using an unlicensed person for restricted building work has serious consequences. The work may not comply with the Building Code. Your council may not issue a Code Compliance Certificate (CCC), which you need when selling your property. You lose access to the protections provided by the LBP scheme, including the ability to make a complaint to the Building Practitioners Board. You may have difficulty getting insurance cover for the work. And the builder faces penalties — it is an offence under the Building Act for an unlicensed person to carry out or supervise restricted building work.

LBP Complaints Process

If you have a problem with work done by an LBP, you can make a complaint to the Building Practitioners Board. The Board investigates complaints about negligence, incompetence, and conduct issues. Possible outcomes include requiring the LBP to fix the work, fines, suspension or cancellation of their licence, and orders to pay costs. This is a significant consumer protection that is only available when you use a licensed builder.

Tips for Homeowners

Always verify your builder's LBP status before signing a contract. Check that their licence classes cover the specific type of work you need. Ask for their LBP number and check it online. Keep a copy of your building consent, plans, and all LBP records. When the job is complete, ensure your builder provides producer statements and that your council issues a Code Compliance Certificate.