Construction Law: August/September 2026

Editor’s comment
DfT and Treasury on naughty step over Northern Powerhouse Rail costing 
Editor Nick Barrett looks forward to hearing DfT and Treasury responses to the Public Accounts Committee challenge to explain how they arrived at a £45 billion cost cap for the long awaited and desperately needed Northern Powerhouse Rail project.

News  
Our regular news round up looks at a government procurement review ordered by a Minister; a switch in NHS investment to a long term focus; and an Appeal Court ruling against an HS2 tunnel being significantly extended without planning permission.

Legal terms explained 
Maria Avram of Herbert Smith Freehills Kramer LLP explains how the Civil Liability (Contribution) Act 1978 works.

Guest editor
Do payment and retentions reforms do what they say on the tin? 
Guest Editor Dan Warren of DLA Piper LLP analyses the impact of government reforms of payment practices and retentions, asking if if they will achieve the desired outcomes. Look out for loopholes, especially with retentions, he advises.

Legislation state of play table
Our regular update on the progress of regulations and legislation affecting construction and procurement compiled by Alignment Media.

Reports from the courts
Our latest reports of the court decisions of most significance to construction comes from Andrew Croft, Ben Spannuth, Daniela Miklova and Ben Boulter of Beale & Company Solicitors LLP who report on a case highlighting that cladding product manufacturers and suppliers may face significant contribution exposure going forward; and another reaffirming the court’s robust approach to adjudication enforcement.

Analysis
When retention becomes payable – and why interim Is usually too soon
Anjali Shrivastava of Michael Gerard Solicitors cautions that practical completion (PC) is not the end of the contract story. Under the JCT Minor Works Building Contract with contractor’s design 2016, for example, PC is not the point at which the whole of retention automatically becomes payable.

CL guides
CL Guide to The Building Regulations Part 2a Dutyholders’ Requirements
CL Guides to construction law series article comes from Sofia Sportelli of DLA Piper LLP who explains the responsibilities of Building Regulations Dutyholders,

Arbitration
The 2026 ICC Arbitration Rules and Construction Disputes
Leading arbitral jurisdictions are introducing reforms to promote simplicity and efficiency. Vijay Bange and Gordon Chan of Irwin Mitchell LLP explain some of the positive impacts likely to result, but also highlight some potential pitfalls as the reforms are introduced to construction.

Design
Design Liability: when choice of law really matters
Owen Newman and Justin Li of Duane Morris examine the difference that choice of law can make when designs turn out to be defective or deficient and exposure starts to cascade. Comparison between the United States and the UK which start from different premises, is instructive.

Adjudication
Adjudication – when the pay now argue later principle fails to deliver the goods
Barrister Karen Gough of 39 Essex Chambers asks why some people are not being paid despite succeeding in adjudications. For contractors seeking payment the system works well – but it can be a different story when an Employer tries to recoup overpayments.

Contracts
Contracts on the Clock
Contract management and procurement specialist Carolle Vallee of VaLex Consulting warns that traditional contracts were never designed for programmes where design, procurement and construction happen simultaneously, as they do on hyper scale data centres. Contractual models might be evolving, but can that happen fast enough?

Insurance
The Contractor’s Design Risk
Insurance expert John D Wright of JD Risk Associates examines Contractor’s Design Risk policies. Contractors can be exposed to design claims even when not parties to some contracts, he warns.

Alternative dispute resolution
ADR’s place in the case management toolkit confirmed
Tracey Summerell of Dentons UK and Middle East LLP finds strong support for ADR in the new edition of the TCC Guide.

Housebuilder fined £300,000 after worker falls through unprotected stairwell

Domestic housebuilder Hillbeck Homes (Sowerby Bridge) Ltd has been fined £300,000 after a 24-year-old temporary labourer sustained life-changing spinal injuries when he fell through an unprotected stairwell void on a residential development site.

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Thames cable tunnel breaks through 49 days ahead of schedule

Tunnelling work on a new 2.2km high-voltage electricity cable tunnel beneath the River Thames has completed 49 days ahead of programme, marking a major procurement and delivery milestone for National Grid’s Great Grid Upgrade framework.

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Development consent granted for 500MW Green Hill Solar Farm

Plans for the 500-megawatt (MW) Green Hill Solar Farm have been granted development consent by the Department for Energy Security and Net Zero (DESNZ), marking the 114th energy project to complete examination under the Planning Act 2008 framework.

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Sheet metal fabricator fined £48,000 following repeat manual handling incident

Lancashire sheet metal manufacturer Fitzpatrick Fabrications Ltd has been fined £48,000 after an employee suffered a partial thumb amputation and severe hand crush injury during a manual handling task, just days after a near-identical incident occurred at the same site.

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Construction company fined £120,000 following fatal fall through floor

Oxfordshire-based contractor W G Carter Limited has been fined £120,000 after a 59-year-old carpenter died following a fall through an unsafe first floor during domestic refurbishment works.

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Fourth Edition TCC Guide introduces dedicated Building Safety Act framework

The Technology and Construction Court (TCC) has formally issued the Fourth Edition of the TCC Guide, introducing the most comprehensive set of procedural updates to UK construction, engineering, and technology litigation since 2022.

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TCC rejects late jurisdictional challenges in Danion v IPS Roofing

The Technology and Construction Court (TCC) has enforced an adjudicator’s £176,000 award in Danion Ltd v IPS Roofing Ltd, delivering a firm reminder to construction parties regarding the strict procedural rules governing jurisdictional reservations during summary enforcement proceedings.

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High Court rejects frustration defence over fire safety and cladding defects

The High Court has handed down a significant judgment in Into Nominee One and Two Ltd v Study Group UK Limited, ruling that severe fire safety and external cladding defects do not operate to frustrate a long term commercial lease, leaving the tenant liable for nearly £9 million in unpaid rent arrears.

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St James and Lindner Prater fined £1.3m following fatal window fall

Developer St James Group and contractor Lindner Prater Limited have been ordered to pay fines totaling £1.3 million, alongside £250,000 in prosecution costs, at Inner London Crown Court following a fatal incident at a luxury residential development in London.

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Supreme Court Clarifies Termination Rights for Repeated Late Payment Under JCT Contracts

In Providence Building Services Ltd v Hexagon Housing Association Ltd, the Supreme Court issued a landmark ruling clarifying when a contractor can terminate an amended JCT contract for repeated late payments.

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