Improving payment practices in the construction industry
The Local Democracy, Economic Development and Construction (LDEDC) Bill
The Local Democracy, Economic Development and Construction (LDEDC) Bill was introduced in the House of Lords on 4 December and published on 5 December along with the explanatory notes on clauses.
Part 8 (Construction Contracts) of the LDEDC Bill contains the construction provisions to amend Part 2 of the Housing Grants, Construction and Regeneration Act 1996 (“the Construction Act”). These will seek to improve the existing legislation by improving cash flow and access to adjudication for construction companies.
Details of the Bill stages and its progress are available at the Parliament website.
The Draft Construction Contracts Bill July 2008 with Explanatory Notes was published on July 2008 to receive comments by Sept 2008 for technical scrutiny of the draft clauses by industry stakeholders.
Analysis (2008)
BERR and the Welsh Assembly Government have jointly published the analysis of responses to the 2007 Consultation on proposals to amend Part 2 of the Housing Grants Construction and Regeneration Act 1996 and Scheme for Construction Contracts (England and Wales) Regulations 1998.
Please contact the BERR publications order line on: 0845 015 0010 quoting URN 08/1094 for a hard copy.
2007 Consultation
DTI launched the second joint consultation with the Welsh Assembly Government to amend Part II of the Housing Grants Construction and Regeneration Act 1996 and Scheme for Construction Contracts (England and Wales) Regulations 1998. The initial consultation process identified issues and possible solutions on specific proposals. The amendments in the second consultation sought to improve transparency and clarity in the exchange of information relating to payments, thereby enabling parties to construction contracts to manage cash flow better; and to encourage parties to resolve disputes by adjudication.
2005 Consultation
DTI and the Welsh Assembly Government’s joint consultation on proposals to amend Part II of the Housing Grants Construction and Regeneration Act 1996 and Scheme for Construction Contracts (England and Wales) Regulations 1998. Please contact the BERR publications order line on telephone: 0845 015 0010 quoting URN 05/851 – English version or URN 05/851W – Welsh version.
Analysis (2006)
Analysis of the 2005 Consultation on proposals to amend Part II of the Housing Grants Construction and Regeneration Act 1996 and Scheme for Construction Contracts (England and Wales) Regulations 1998. Published jointly by the DTI and the Welsh Assembly Government. Please contact the BERR publications order line on telephone: 0845 015 0010 quoting URN 06/633 – English version or URN 06/633W – Welsh version.
Consultation responses
We received 356 responses to the 2005 Consultation (22 March until 21 June 2005). A list of responses is available on the right. If you would like to view the responses in full, a CD ROM is available from the publications order line (0845 015 0010).
Consultation Events
The DTI held consultation events on June 1st 2005, February 14th 2006 and July 25th 2007.
Sir Michael Latham's Report on the Construction Act (17 September 2004) and the initial response from Construction Minister, Nigel Griffiths.
Adjudication
"Guidance for Adjudicators"
July 2002, published by the Construction Umbrella Bodies Adjudication Task Group c/o Construction Industry Council (CIC). Copies can be downloaded and ordered from the CIC's website. In addition you may find some of the related information available from the links to the right useful. (URN 02/1585)
"Users Guide to Adjudication"
Published by the Construction Umbrella Bodies Adjudication Task Group to provide accessible and accurate guidance for users of the construction adjudication process. It follows the publication of 'Guidance to Adjudicators' in July 2002. (URN 03/803)