Source: https://www.quantsurv.com/resources/glossary/scheme-for-construction-contracts
Content format: Markdown version of the public page.
Content reviewed: 2026-09-30

# Scheme for Construction Contracts: definition and example

The default rules that fill the gaps where a construction contract does not meet the Construction Act.

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 114 of the Housing Grants, Construction and Regeneration Act 1996](<https://www.legislation.gov.uk/ukpga/1996/53/section/114>) and [Part I of the Scheme for Construction Contracts (England and Wales) Regulations 1998](<https://www.legislation.gov.uk/uksi/1998/649/schedule/part/I>) and [Part II of the Scheme for Construction Contracts (England and Wales) Regulations 1998](<https://www.legislation.gov.uk/uksi/1998/649/schedule/part/II>).

The Scheme supplies statutory provisions where an in-scope contract does not meet the Construction Act's requirements. Payment provisions and adjudication provisions operate differently, so it is unsafe to replace every term automatically. This explanation concerns the England-and-Wales Scheme; other jurisdictions have their own arrangements.

Identify the particular non-compliant or missing provision. A [post-signing contract review](<https://www.quantsurv.com/contract-review/services/post-signing-contract-review>) can help organise the payment terms for further assessment.

## Worked example

### The facts

A subcontract contains a payment process but leaves a required date unclear.

### What happens

1.  The subcontractor checks the contract against the statutory requirements.
    
2.  It identifies which applicable Scheme provision supplies or replaces the defective arrangement.
    

### What this shows

The analysis addresses the actual gap rather than assuming that the entire agreement has been replaced.

## Sources

1.  [Housing Grants, Construction and Regeneration Act 1996, s 114 (The Scheme for Construction Contracts)](<https://www.legislation.gov.uk/ukpga/1996/53/section/114>). legislation.gov.uk.
2.  [Scheme for Construction Contracts (England and Wales) Regulations 1998, SI 1998/649, Schedule, Part I (Adjudication)](<https://www.legislation.gov.uk/uksi/1998/649/schedule/part/I>). legislation.gov.uk.
3.  [Scheme for Construction Contracts (England and Wales) Regulations 1998, SI 1998/649, Schedule, Part II (Payment)](<https://www.legislation.gov.uk/uksi/1998/649/schedule/part/II>). legislation.gov.uk.