Unclaimed Retention Monies
The unpaid Retention Monies in the UK Construction Industry range from £7.5 to £8.0 billion. Yes, that’s right, £7.5 to £8.0 billion, which is astonishing. This massive amount of money affects the whole supply chain from the top down. Much of this money is being held up by clients and main contractors who are not releasing retention funds promptly. Reasons usually include “Pay when Paid” or “Pay when Certified” However, these are not valid excuses to hold on to retention monies owed unnecessarily.
We understand that recovering retention monies can become an administrative burden, especially when presented with nonrespondent and uncommunicative Clients and Contractors. As a result, reclaiming overdue retention monies can sometimes become a low-priority concern for many. However, the recovery of retention monies is now becoming a significant implication for all parties, mainly when notable clients and main contractors fall into administration or post-record company losses.
The UK Government are attempting to restrict the amount of value and time retention monies that can be withheld. However, These policies are still in their infancy and will take longer until we see real change regarding retention monies.
Until then, KJM Ltd has set up a cost-effective solution for Contractors and Subcontractors endeavouring to recover retention monies. Using standard forms, procedures, letters, application templates and a wealth of experience and knowledge within the UK construction industry, we aim to provide the most cost-effective approach to reclaiming retention monies.
Therefore, if you are struggling to recover retention monies owed or require support on any of the below points, then please send us your contact details, and we will provide you with a free consultation to discuss your retention accounts:
KJM Retention Services Include:
Retention Prevention - Guidance on reviewing retention clauses in main and subcontracts before final agreement and assisting with T&Cs to bring them in line with industry standards for retention.
Recovering Retention Monies – By assisting with document preparation to release retention monies, Applications for Payment and appropriate Payment Notices.
Retention Monies Management - Produce trackers that list your Retention outstandings from various contracts.
Cost-Effective Solutions - A solution to recover your retention monies with noncontractual procedures and limited inconvenience to your company.