Architects need more competition, report urges

COMPETITION among architects could be opened up and prices to the consumer reduced if the umbrella body for the sector revised some of its rules and key changes were made, a report has concluded.

The architectural profession has relatively limited restrictions on entry and rules which prevent certain competition. It also has a light regulatory structure focused more on ensuring safety standards than anything else, the Competition Authority report says.

As part of a consultation paper on the Architectural Profession in Ireland, the second in the series of reports into the medical, legal and construction professions, it recommends a series of changes in the sector.

The report claims that some rules and restrictions enforced by the main professional body, the Royal Institute of Architects (RIAI), should be removed to improve competition and ensure greater fairness.

The RIAI was last night going through the recommendations, a spokesperson said, and expects to make a submission to the authority before the deadline of January 5.

The Competition Authority wants the industry to examine its fees structure, such as percentage-based charges, which it found could have the potential to collusion among operators.

It also found that limitations on advertising in the industry restrict rivalry in the profession and work against competition.

Rules which restrict entry to architectural competitions also need to be examined, the report argues.

RIAI rules include a stipulation that members must not enter architectural competitions of which the RIAI does not approve. Another key issue highlighted by the report is the restriction on the use of the title of architect.

Any such restriction, could, together with the lack of third-level places, create substantial barriers to entry for the profession.

This could have negative consequences in terms of the choice of architects, the fees charged and quality provided, and consequent negative effects on the aesthetic quality of Ireland’s built environment.

Should this restriction be deemed necessary, any registration system should be administered by an independent body that does not face a conflict of interest. Chairperson of the Competition Authority John Fingleton, said: “In addition to their significant contribution to the construction industry, architects play a vital role in improving the quality of the built environment in which we all work, live and relax.

“The aesthetic quality of building projects would undoubtedly be improved by the greater use of architects. One of the ways to achieve this is to improve competition within the profession which will reduce costs and increase availability of architectural services.”