Retentions: Carry On Consulting?

In late 2022 I had the pleasure of working with both the CLC and the NEC to produce the NEC and CLC Guidance Note for dealing with retentions in NEC3 and NEC4 construction contracts. As many will know, the NEC (unlike other forms) has an "opt in" provision for retentions (i.e. you have to actively select retentions applying) aligning with its overall ethos of mutual trust and cooperation and collaboration throughout the contractual chain generally. The Guidance Note itself aimed to highlight alternatives to retentions, as retentions are known to cause widespread cash flow difficulties in the industry especially when large contractors become insolvent. Its drafting followed years of reports on retentions and their alternatives by numerous government departments.