A written contract is the best protection you have when you hire a builder. It sets out what will be built, for how much and when, and what happens if things change. This guide covers the essentials in plain English.
This is general information, not legal advice. For large or unusual projects, consider having a solicitor review the contract.
Why you need a contract
Disputes in building work usually come from unclear scope, changes that were never priced, and payment disagreements. A good contract avoids all three. Many homeowners use a standard homeowner building contract produced by an industry body, which is written in plain language.
What the contract should include
- Parties: names and addresses
- Scope of work, with reference to drawings and the specification
- Contract price and whether it is fixed or provisional
- Start and completion dates and what happens if there is delay
- Payment schedule (see below)
- Variations: how changes are agreed and priced in writing
- Insurance: public liability and, if relevant, employers' liability and who insures the works
- Building regulations and approvals: who applies and arranges inspections
- Defects: how long the builder has to fix problems after completion
- Dispute resolution
- Termination: what happens if either side breaks the contract
Deposits and stage payments
Avoid paying a large sum up front. A fair structure pays for work as it is completed, for example:
- a small deposit to secure materials or the start date
- stage payments after agreed milestones, such as foundations, roof weathertight, first fix complete and final completion
- a retention (often a few per cent of the price) held back for a set period after completion to cover defects
Always pay against work done and an invoice, not on request. Never pay in cash without a receipt. If a builder insists on most of the money before starting, treat it as a warning sign.
Variations
Changes are normal, but they must be controlled:
- Ask for the change to be priced in writing before work starts.
- Agree the extra cost and time.
- Both sides sign.
"Verbal extras" are a common source of disputes.
Your cancellation rights
If you sign a contract at your home or away from the builder's premises, consumer law may give you a right to cancel within a short period, unless you ask the builder to start sooner. The details are technical, so check the position if you want to cancel.
Guarantees and insurance
Ask what guarantees are provided, whether any are insurance-backed and how long they last. Keep the contract, invoices, building control completion certificate and warranties safe for when you sell.
Before you sign
- Compare quotes using our quote checklist
- Ask the questions in our builder checklist
- Check that the programme is realistic; see how long an extension takes
Work with a team that puts it in writing
Abron Contracting provides clear written quotations and agrees the scope, price and timetable before work starts. Contact us or call 01633379170 to discuss your project.
Frequently asked questions
Do I need a written contract with my builder?
Yes. Even for small jobs, a written agreement covering scope, price, timing and payment protects you both.
How much deposit should I pay?
Keep it modest and be wary of large upfront payments. Tie further payments to completed stages.
What is retention?
An amount held back after completion, usually for a defined period, to ensure defects are fixed.
What if the builder wants extra money?
Ask for a written, priced variation before agreeing to any extra work.
Can I withhold payment if I am unhappy?
Only in line with the contract. Raise problems in writing promptly, and take advice before withholding money.
