NEC3 Option A - X1 is not included in the contract.
Client has instructed us to stop works, quite a severe delay until we can restart and they have accepted that we can apply an inflationary uplift as we aren’t going to recommence until later next year. However, without X1 there isn’t a calculation within the contract. What would be the best method for me to calculate the percentage to apply to our remaining works?
Hello Simon,
I think this will ultimately come down to agreement between you and your Client. There are various ways to measure inflation. Some Clients use UK consumer prices index or retail prices index for example. Based on experience BCIS is typically used. As you’ll see from the BCIS there various indices avaliable depending on your scope, so you may agree to use BCIS, but which indices you use may be up for debate.
In simpler times, a rough % was applied, but given we’re in difficult times now, this may not be the best approach.