Contracts and payment laws: Getting over the finish line

By Emma Peterson. 

NFRC’s James Talman on momentum, parliament and what comes next for U.K. contract and payment law. 

Recently, James Talman of National Federation of Roofing Contractors (NFRC) stopped by RoofersCoffeeShop.uk for an episode of Roofing Road Trips® all about the recent change in how the government manages retentions in construction contracts and payments laws. At the time of recording, NFRC had just released their press statement on the news, but the changes had not been finalized. When we spoke with him, James shared what needed to be done to get over the finish line and get those reforms finalized.  

How did we get this far?  

The process alone of getting to the announcement of the U.K. government’s intent to ban retention clauses and reform payment law is a significant feat. This is something that advocates like NFRC, the U.K. Department of Business and Trade, and the Construction Leadership Council have been working at for nearly a decade. James shared a bit about this major collaboration:  

The collaborative work between civil servants and our industry has been key to this. The work really was kicked off during COVID, and it wasn’t easy. There were people in that room who wouldn't be happy with exactly where we’ve ended up, but they still show up to work for the betterment of the industry and the economy on a whole. Because while this is huge for construction, it’s not only effecting construction... One day it might be a roofer, the next day it could be somebody doing fit-outs or an electrician, a plumber, et cetera.  

Where we are as of recording 

As of the recording of this episode (the beginning of April 2026), these reforms have not been finalised. However, the U.K. government has announced what they intend to change. James explained in a NFRC press release, “For too long, specialist contractors have been forced to operate under a system that allowed larger firms to withhold their money, delay payment, and use their cash as free working capital. [With this announcement], the Government has shown that it has listened, and we could not be more pleased.” 

What’s next for contractors and professionals 

So, what must happen to make everything official? The first step is parliament. James explained:  

The government is going to put this before parliament to be voted upon. We’re now in the last lap, and it’s the most important part. What we have to do is make sure that the momentum continues, that there’s support across parliament for this bill to go through.” That support can be fostered by contractors and other professionals in the industry through things like lobbying. And then when that happens, we can celebrate and educate as they say. 

Check out the entire podcast to learn more about these contract and payment law changes.