§ Lord Borrie
asked Her Majesty's Government:
When they intend to bring into effect the provisions on construction contracts which are contained in Part II of the Housing Grants, Construction and Regeneration Act 1996.
§ Baroness Hayman
We gave an assurance when we came into Government that we would implement the previous adminstration's legislation on fair construction contracts which had been introduced with cross-Party agreement. We are delighted now to be fulfilling that promise.
We have today laid an order which sets out the arrangements which need to be followed where construction contracts fail to contain adjudication and payment provisions which comply with the 1996 Act. We have also laid an order excluding certain types of contracts, and especially contracts under the Private Finance Initiative, from the terms of the Act.
These proposals are the result of detailed and comprehensive consultation with all sections of the construction industry. The adjudication provisions will help resolve construction disputes quickly and simply. We are looking forward to the legislation coming into effect in the spring.