Dealing With Construction Material Price Inflation? Changes To Public Works Contracts

The Office of Government Procurement (OGP) has published interim amendments to the standard form Public Works Contracts under the Capital Works Management Framework (CWMF). These interim amendments address the impact of recent construction material price increases and supply chain disruptions prompted by the pandemic, and to a lesser extent, Brexit. 

Background

The OGP has reported that steel and timber products have seen sharp sustained price increases since mid-2020, joined by insulation and plastics in early 2021. Other construction materials remain in short supply or with long delivery timelines. In addition to pandemic disruptions and shortages, as anticipated, the implications of Brexit are also having an impact on the projects and construction sector in Ireland.