Should Cost Model
The Construction Playbook, Government Guidance on sourcing and contracting public works projects and programmes Version 1, produced by the Cabinet Office and published in December 2020, is focused on getting projects and programmes right from the start. Its principles and policies are intended to transform how public works projects and programmes are assessed, procured and managed. It is a ‘compact’ between government and industry, setting out how they will work together in future.
It states:
‘Having a clear understanding of the whole life costs and risks of delivering a project or programme is best achieved by producing a Should Cost Model (SCM). A SCM provides a forecast of what a project or programme ‘should’ cost over its whole life, including both the build phase and the expected design life.
‘All projects and programmes should produce a SCM. The level of investment in producing a SCM will vary with the complexity and significance of the procurement. For major works projects and programmes a SCM will be more detailed and, while the level of detail will evolve, they should be produced during the planning and preparation stage to support the DMA (Delivery Model Assessment).
‘The SCM will drive a better understanding of the whole life costs and risks associated with different options and scenarios. This will inform engagement with bidders and the appropriate commercial strategy including methods to incentivise the supply chain to focus on whole life cost. It will drive more realistic budgets by providing greater understanding of the impact of risk and uncertainty on both cost and schedule. The SCM should also be linked to the whole life carbon assessment.’
For more information see: The Construction Playbook.
NB Government Functional Standard, GovS 008: Commercial, Version: 2.0, published by HM Government in September 2021, defines should cost modelling as: ‘A financial modelling technique to determine the expected cost of goods or services that are provided by suppliers.’
[edit] Related articles on Designing Buildings Wiki
Featured articles and news
Boiler Upgrade Scheme and certifications consultation
Summary of government consultation which closes 11 June 2025.
Deputy editor of AT, Tim Fraser, discusses the newly formed society with its current chair, Chris Halligan MCIAT.
Barratt Lo-E passivhaus standard homes planned enmasse
With an initial 728 Lo-E homes across two sites and many more planned for the future.
Government urged to uphold Warm Homes commitment
ECA and industry bodies write to Government concerning its 13.2 billion Warm Homes manifesto commitment.
Places of Worship in Britain and Ireland, 1929-1990. Book review.
The emancipation of women in art.
CIOB Construction Manager of the Year 2025
Just one of the winners at the CIOB Awards 2025.
Call for independent National Grenfell oversight mechanism
MHCLG share findings of Building Safety Inquiry in letter to Secretary of State and Minister for Building Safety.
The Architectural Technology Awards
AT Awards now open for this the sixth decade of CIAT.
50th Golden anniversary ECA Edmundson awards
Deadline for submissions Friday 30 May 2025.
The benefits of precast, off-site foundation systems
Top ten benefits of this notable innovation.
Encouraging individuals to take action saving water at home, work, and in their communities.
Takes a community to support mental health and wellbeing
The why of becoming a Mental Health Instructor explained.
Mental health awareness week 13-18 May
The theme is communities, they can provide a sense of belonging, safety, support in hard times, and a sense purpose.
Mental health support on the rise but workers still struggling
CIOB Understanding Mental Health in the Built Environment 2025 shows.
Design and construction material libraries
Material, sample, product or detail libraries a key component of any architectural design practice.
Construction Products Reform Green Paper and Consultation
Still time to respond as consultation closes on 21 May 2025.
Resilient façade systems for smog reduction in Shanghai
A technical approach using computer simulation and analysis of solar radiation, wind patterns, and ventilation.