Construction Retentions Reform: The UK Retention Deposit Scheme
The Department for Business & Trade is consulting on major changes to retentions in construction, with a deadline for feedback on 23 October 2025.
This consultation is a significant opportunity for contractors, subcontractors, and related professionals to secure fair treatment, and the Department for Business & Trade encourages all involved in construction to participate.
A consultation response can be submitted online for those who haven't yet shared their views on retention reform.
The Government's consultation on late payments in construction is a crucial step towards addressing the long-standing issue of retention misuse in the sector.
For decades, retention clauses have provided employers with protection against latent defects and incomplete works.
Author's summary: Reforms to construction retentions in the UK are underway.
- Consultation deadline: 23 October 2025
- Opportunity for fair treatment of contractors and subcontractors
- Addressing late payments and retention misuse in construction