Code-Point is created by taking the average of the coordinates of all the individual addresses in a postcode (provided we have any of sufficient quality), then snapping to the nearest of those addresses. Code-Point then delivers the coordinates of that address, as representative of the whole postcode, to a resolution of 1 metre.
The accuracy of a Code-Point Open record could be expressed as, that the coordinated position will always be within the notional geographical extent of the postcode. The accuracy of each postcode unit coordinate pair is defined by the positional quality indicator (PQI) which provides a quality statement of a Code-Point record.