Government plans to ban cash retentions in construction contracts aim to “prevent the abuse of retention payments in construction”, signalling a major shift in how risk and defects liability are managed across UK projects. The move would directly affect standard forms such as NEC and JCT, where 3–5% retentions are commonly withheld through practical completion and defects periods. Contractors and subcontractors could see significant changes to cashflow, security instruments (bonds, project bank accounts) and commercial negotiation of quality and defect-remedy provisions.

Plug-in balcony solar panels will go on sale in Lidl stores across Great Britain within months, following government moves to modernise regulations for “plug-and-play” devices that connect via a standard mains socket without formal installation. The UK is drawing on continental experience, where Germany alone adds around 500,000 such micro-PV units a year, to cut household grid demand and exposure to volatile fossil fuel prices linked to the Iran war and wider Middle East conflict. In parallel, the new Future Homes Standard will require most new low-rise homes to incorporate on-site renewable electricity generation, predominantly roof-mounted PV, alongside low-carbon heating such as heat pumps or heat networks.

Government plans to ban retention withholding in construction, cap payment terms from large firms to small suppliers at 60 days, and mandate late-payment interest at 8% above the Bank of England base rate written into contracts. The Small Business Commissioner would gain powers to investigate suspected poor payers, adjudicate disputes outside court, and levy “significant” fines in the tens of millions, plus force large companies to publish explanations for poor performance. Construction bodies, including the National Federation of Builders, are pushing for alternative performance mechanisms such as accessible surety bonds or insurance during the consultation on the retention ban’s implementation.