What are my rights?

We had new carpet laid about a year ago, the same throughout the entire house. I recently noticed a fault in carpet and had the Retailer out to check it. They confirmed it was a fault with the carpet and that they would contact the manufacturers. The manufactuers sent someone out who also confirmed it was a fault with the carpet. As we have the same carpet throughout the whole house (all laid at the same time, off the same roll) we have asked for replacement carpet throughout. However they dont make this carpet anymore and the retailer has given us two options:

1) Have a different carpet, which is supposedly twice as good quality laid in just the lounge (which is the room which has the defect) - obviously we dont want this as the whole idea was we have the same carpet throughout the house

or

2) accept a credit note for what we paid for the carpet in the knowledge that due to increase in prices we would not be able to have the whole house carpeted for this amount now and would therefore have to pay the difference.

I want to know exactly where we stand with this, granted it has taken a year to spot but it is only visable in certain light at a certain time of day and now we know it is there your eye is drawn to it everyimte you walk in. Seeing as both the manufacturer and retailer have admitted its is a fault with the roll, can we insist they recarpet the entire house?

Any advice would be much appreciated.

Thanks for this Tony. Having spoken to the retailer on Saturday, it transpires they (well the manufactuer so the retailer tells me) are only prepared to replace the lounge carpet or refund the cost of the lounge carpet by credit note. Our problem is they can't match the lounge carpet to the rest of the house (carpet not made anymore), therefore if we wanted to keep the matching carpet throughout (which is the look we went for in the first place) we would not only have to cover the extra cost of having the lounge done but would also have to pay to have the rest of the house done on top. More to the point, the rest of the house carpet came off the same roll. Both the manufacturer and retailer have said the fault would be through the entire roll, it just may not be showing up in the rest of the house yet.

I am going to continue to push for a complete replacement and explain to the retailer the contract of sale is with them not the manufactuer. However if worst comes to the worst and we have to accept a refund for the lounge carpet, am I entitled to inisist on a cash refund rather than a credit note? Surely if someone sells you faulty goods they should have to repay the cost in funds, albeit a reduced amount to take into account wear and tear.

Thanks again for your earlier response, very much appreciated.

Aaron