I can not see a logical reason for this.
The intention under a main option F is that the Contractor essentially provides a management service and only has responsibility for providing limited works, as stated in the Contract Data, with the responsibility for providing the substantial part of the works lying with others.
This intention is apparent from the difference in the Disallowed Cost sub-clause, which does not include items relating to ‘providing the works’, such as inefficient use of resources, correction of Defects after Completion etc, which are included under a main option C, D or E.
If secondary option X16 were to apply, then the Contractor would take financial responsibility for retention monies, on contracts providing works for which they are not responsible for providing under the contract.
Consequently the use of retention would not be considered the most appropriate, or cost effective, form of security for the Client under this form, between themselves and the Contractor.