Construction: Contracts

(asked on 1st July 2020) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has carried out on the potential effect of the use JCT and NEC contracts on the construction industry's post-covid-19 recovery.


Answered by
Nadhim Zahawi Portrait
Nadhim Zahawi
This question was answered on 10th July 2020

On 7 May, the Government issued guidance on responsible contractual behaviours, which was then updated on 30 June. This guidance applies to all organisations in the public and private sectors that operate under any form of contract, including the New Engineering Contract (NEC) and Joint Contracts Tribunal contracts, which are used in relation to construction projects. The guidance urges all parties to contracts to work collaboratively to avoid disputes, or if this is not possible, to seek to resolve these as quickly and cost-efficiently as possible. This guidance has been endorsed by the Construction Leadership Council (CLC) and forms the basis of further advice on contractual issues provided to small businesses.

The Government welcomes the recovery plan produced by the CLC’s Coronavirus Task Force, which sets out a plan to ensure that all parts of the sector can increase activity, work safely, and maximise their contribution to our economic recovery. We will continue to work with the Task Force, which includes firms, business representative organisations, and representatives of the professional institutions, to support the recovery of the construction sector.

Reticulating Splines