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Projects & Construction Quarterly Bulletin (July 2021)

  • Market Insight 20 July 2021 20 July 2021
  • UK & Europe

  • Projects & Construction

Welcome to the Projects & Construction team’s Quarterly Bulletin for Q2 2021

If you have any questions, please get in touch with your usual Clyde & Co contact or reach us at our

Will Dispute Boards replace Adjudicators in the UK?

The JCT standard forms of construction contract are the most common family of standard forms used in the UK construction industry. Since the introduction of statutory adjudication under The Housing Grants, Construction and Regeneration Act 1996 (as amended) (the “Act”), the JCT forms have provided for parties to refer disputes to adjudication, before turning to arbitration or litigation. What the JCT forms haven’t done, until now, is provide for the use of dispute boards. This changed in May this year, when JCT published its Dispute Adjudication Board Documentation 2021 (“JCT DAB”).

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UK Cabinet Office publishes Procurement Policy Note on carbon reduction plans

The UK government has committed to a ‘Net Zero’ target of a minimum 100% reduction in the net UK carbon account (greenhouse gas emissions) compared to 1990 levels, by 2050. To support this commitment, the UK Cabinet Office has released a Procurement Policy Note setting out how central government departments should take account of suppliers’ Net Zero carbon reduction plans when assessing an individual supplier’s technical and professional ability as part of a procurement process. The policy will apply to the procurement of goods, services, and/or works valued in excess of £5 million per annum where the process is started on or after 30 September 2021, and is mandatory for central government departments, their executive agencies and non-departmental public bodies.

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Are you ready to reverse?

After an initial delay, the VAT reverse charge finally came into effect on 1 March 2021. The HMRC indicated that they would show leniency when dealing with any erroneous VAT returns made within the first six months of the new legislation coming into force (until 1 September 2021). However, this leniency has always been subject to businesses acting in good faith and attempting compliance, and is soon to be replaced with a more strict approach. As September 2021 gets ever-nearer, it is vital that businesses understand how the VAT reverse charge applies to them and make the necessary preparations to ensure that they are compliant with the new scheme.

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The Equator Principles: A Reminder for EPC Contractors

With the ever-increasing focus on climate change risk assessment and management, we felt it timely to remind ourselves of the existence and nature of the Equator Principles, a long-standing set of social and environmental due diligence and monitoring standards launched in 2003 and which now also contain greater emphasis on climate change.

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Clyde Commentary: Thoughts on FIDIC series launch

Clyde & Co has launched a new FIDIC series, Clyde Commentary: Thoughts on FIDIC, which is focused on both the 1999 and 2017 editions of the Red, Yellow and Silver Books (the FIDIC Suite). The series explores each of the Clauses in the FIDIC Suite on a month-by-month basis and will contribute incrementally to a guide to the whole Suite. This guide aims to provide clients with a nuanced and in-depth understanding of the main FIDIC contracts.

To download your copy of the FIDIC guide, click below.

Download our Thoughts on FIDIC guide


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