MAGISTRATES have fined a Marske housing developer that charged two buyers £8,000 over the advertised brochure price.

Lexington Payne Homes was fined £500 for each offence, ordered to pay £1,000 costs to Redcar and Cleveland Borough Council, which brought the prosecution, and £350 compensation to each house buyer.

The firm admitted two offences brought under the Consumer Protection Act but said that no dishonesty was intended.

The four-bedroomed detached homes at Boulby Rise, Brotton, had an advertised price range in a brochure of £125,000 to £130,000, but the actual price the buyers paid was £138,000.

The company, which has operated for 46 years with no previous convictions, told Guisborough magistrates on Wednesday the building project had been delayed due to bricklaying teams leaving and replacement teams costing more. The case dates back to 2003 when house prices rose by 33 per cent, but the company insisted there was no intention to generate higher income.

Joyce Benbow, council cabinet member for community safety, said after the hearing: "I am delighted the court has taken such a firm stand against this company, but it's a pity the two buyers didn't get compensated for the complete difference in the prices."