Source: https://www.quantsurv.com/resources/glossary/pay-less-notice
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Content reviewed: 2026-09-30

# Pay Less Notice: definition and example

The notice your main contractor must send if it plans to pay you less than the notified sum.

By [Jack Butler-Kettle](<https://www.quantsurv.com/about#who-we-are>) · Updated 30 September 2026

Guidance for England and Wales. Check the contract, amendments and facts that apply to your job.

## What it means in practice

Read this alongside [section 111 of the Housing Grants, Construction and Regeneration Act 1996](<https://www.legislation.gov.uk/ukpga/1996/53/section/111n1>).

A pay less notice is part of the payment mechanism for paying less than the notified sum. Content, timing and service are important, including the sum considered due and its basis. A letter alleging defects is not necessarily a valid pay less notice, and a valid notice does not finally decide liability.

Check the document and underlying deduction separately. [Underpayment recovery](<https://www.quantsurv.com/underpaid/services/underpayment-recovery>) can help organise that distinction and the supporting evidence.

## Worked example

### The facts

A subcontractor receives a deduction letter before the expected payment.

### What happens

1.  It checks the notice deadline, stated sum, calculation and method of service.
    
2.  It separately examines whether the alleged deduction is justified on the facts.
    

### What this shows

The payment procedure and the merits of the deduction are related questions, but neither replaces the other.

## Sources

1.  [Housing Grants, Construction and Regeneration Act 1996, s 111 (Requirement to pay notified sum)](<https://www.legislation.gov.uk/ukpga/1996/53/section/111n1>). legislation.gov.uk.
