Fixed charge
The New Rules of Measurement (NRM) are published by the Royal Institute of Chartered Surveyors (RICS). They provide a standard set of measurement rules for estimating, cost planning, procurement and whole-life costing for construction projects.
According to NRM2: Detailed measurement for building works, a fixed charge is:
| …for work, the cost of which is to be considered independent of duration. |
Charges may be fixed, time-related, or a combination of both.
NB The Code of Estimating Practice, seventh edition, published by the Chartered Institute of Building (CIOB) in 2009 defines a 'fixed price contract' as, ‘…a contract where the price is agreed and fixed before construction starts’.
However, in reality, contracts tend not to have a fixed price, but allow the price to change under certain circumstances, such as:
- Variations.
- Relevant events.
- Provisional sums.
- Fluctuations.
- Payments to nominated sub-contractors or nominated suppliers.
- Statutory fees.
- Payments relating to opening up works for inspection and testing.
A truly 'fixed' price contract would not necessarily be in the interests of the client as it would require that the contractor price risks over which they may have no control, and which might not arise.
For more information see: Fixed price.
[edit] Find out more
[edit] Related articles on Designing Buildings Wiki
Featured articles and news
Guide to ISO 19650 for Architecture Firms (2026)
A user gives their low down.
A UK training and membership provider for mould remediation professionals.
Building Safety recap April, 2026
A short and longer run-through of the month, with links to further information and sources.
CIAT May 2026 briefing.
Independent NSI and BAFE study exploring how organisations are changing the way they buy fire safety services.
From medieval scribes to modern word art.
ECA welcomes crackdown on late payment and push for clean energy, whilst CIOB seek fixed cladding removal timeframes.
Cyber Security in the Built Environment
Protecting projects, data, and digital assets: A CIOB Academy TIS.
Managing competence in the built environment
ITFG publishes new industry guide on how to meet the ICC principles.
The UK's campaign to reduce noise pollution: Mythbusting, articles and topic guides.
Setting Expectations on Competence Management
Industry Competence Committee.
New Scottish and Welsh governments
CIOB stresses importance of construction after new parliament elections.
The sad story of Derby Hippodrome
An historic building left to decay.
ECA, JIB and JTL back Fabian Society call to invest in skills for a stronger built environment workforce.