Last edited 28 Jul 2016

Housing Grants, Construction and Regeneration Act HGRA


[edit] Introduction

The Housing Grants, Construction and Regeneration Act 1996 (HGRA - also known as the Construction Act) is intended to ensure that payments are made promptly throughout the supply chain and that disputes are resolved swiftly.

Provisions of the act include:

  • The right to be paid in interim, periodic or stage payments.
  • The right to be informed of the amount due, or any amounts to be withheld.
  • The right to suspend performance for non-payment.
  • The right to adjudication.
  • Disallowing pay when paid clauses.

The Act applies to all contracts for 'construction operations' (including construction contracts and consultants' appointments). If contracts fail to comply with the act, then the Scheme for Construction Contracts applies.

[edit] 2011 amendments

The act was amended in October 2011 to close loop holes within its provisions.

The act now applies to construction contracts including those that are not in writing. Adjudication clauses must still be in writing, otherwise the scheme for construction contracts applies.

It is no longer allowable to define within a contract who should bear the cost of adjudication, and adjudicators have the right to correct errors in their decisions within 5 days of delivering that decision.

Specific changes have also been made regarding procedures for making payments:

[edit] Find out more

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[edit] External references


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