New SBCC contracts explained: key changes and what they mean for your projects

The long-awaited Scottish Building Contracts Committee (SBCC) 2024 editions have begun their phased rollout.

This is a significant modernisation of some of Scotland’s most widely used construction contracts.

With the Minor Works being the first suite now published and others due across 2026 and 2027, employers, contractors and consultants should understand what has changed and how the updates align with the Joint Contracts Tribunal (JCT) 2024 overhaul. For more information on the key changes in the JCT 2024 editions, see our previous insight here.

The revisions have been described as aiming to deliver contracts that support a faster, greener and safer construction industry, reflecting evolving priorities around efficiency, sustainability and risk management.

A phased release and what to use now

The SBCC 2024 editions are being released in phases. It appears they will still be called “2024” to align with the JCT 2024 editions, despite their release dates being in 2026 or 2027.

• The Minor Works suite (including the Minor Works Building Contract and Minor Works Building Contract with contractor’s design) was published on 26 February 2026.
• The Design & Build and Standard Building Contract suites are expected between Spring and Autumn 2026.
• Others will follow later in 2026 / 2027.

In the meantime, parties should continue using the SBCC 2016 editions where the updated versions are not yet available.

Minor Works 

The changes in the SBCC 2024 Minor Works suite broadly mirror those introduced in the JCT 2024 Minor Works suite, albeit with the necessary “kilted” adaptations to ensure alignment with Scottish law and practice. Three themes run through the updates: 

• Legislative alignment;
• Future proofing; and 
• Modernisation.
  
  

Legislative alignment

One of the key drivers behind the 2024 amendments is legislative change.

Building safety 
Scotland's position diverges meaningfully from England when it comes to building safety. While building safety reforms have been seen throughout the UK, the Building Safety Act 2022 is most prominent south of the border and only applies to a limited extent in Scotland (for example, the Building Regulations 2010 and its new "duty holder regime" introduced under Part 2A does not apply). Therefore SBCC 2024 will not include the same building safety provisions seen throughout the JCT 2024 suites and the Minor Works does not contain these. However, this does not rule out the possibility that building safety provisions may be introduced in the longer forms of the SBCC editions once published.

New insolvency grounds
New insolvency grounds have been added to section 7, to reflect modern corporate rescue and restructuring mechanisms. This ensures the SBCC forms remain aligned with current insolvency practice and the Corporate Insolvency and Governance Act 2020.

Updated payment provisions reflecting construction legislation and clarification of termination processes
Revisions to the section 8 termination accounting and payment provisions provide expressly for the payment and payment-related notice requirements of the Housing Grants, Construction and Regeneration Act 1996, as amended. 

The aim is to ensure that the contracts remain robust and enforceable in a changing regulatory environment.

Future proofing

The SBCC 2024 Minor Works suite takes a broader view of what a construction contract should achieve, consistent with the direction the JCT 2024 suites have taken.

Collaborative working moves centre stage
Collaboration is no longer confined to optional supplemental provisions. Good faith behaviours, cooperative and collaborative obligations and a problem-solving ethos are now embedded in Article 3. The intention is to encourage early engagement and constructive dialogue rather than adversarial positioning.

Sustainable development and environmental considerations 
Sustainability and environmental considerations have also moved from optional supplemental provisions to obligatory (subject as always to any amendments parties make). Environmental performance, materials and sustainable practices are now standard contractual conditions at clauses 2.1 / 2.2, rather than an add on, reflecting the reality that sustainability is a mainstream contractual issue. Scottish public sector projects are likely to see increased emphasis on this in procurement.

Notification and negotiation of disputes 
Another term moving from the supplemental provisions to the contract conditions is new clause 8.1, the obligation to notify and negotiate disputes. This is a two-pronged requirement, requiring each party to notify the other of any matters in dispute; and then for senior executives to meet as practicable for direct, good faith negotiations to resolve the matter. Parties will need to consider who to nominate as “senior executives” in the Contract Particulars. This will act as the first step in the escalation of a dispute, whilst not cutting across the statutory right to adjudication. The move is in keeping with the overarching theme of collaboration that JCT and SBCC have sought to reflect throughout the new suites.  

The final dispute forum by default remains arbitration, unless parties select court proceedings. The suggested bodies for appointing arbitrator(s) have however been updated, now referring to the President or Vice President of the RIAS, RICS and CIArb Scottish Branch instead of the Chair or Vice Chair of the SBCC. This is a point where the JCT and SBCC editions have differed since 2016, with the final dispute forum in JCT editions by default being court proceedings, unless parties select arbitration.

Modernised and streamlined              

The 2024 amendments also tighten a number of areas that have generated uncertainty in practice.

Notices
There is now greater flexibility around electronic service of notices, with clearer drafting on agreed email addresses and formal notice procedures. Given the level of scrutiny Scottish courts have applied to strict compliance with notice provisions in recent years, this clarification is welcome though it does not remove the need for parties to follow the contractual requirements and timetable carefully.

Extensions of time and unforeseen conditions 
The Minor Works suite does not change its limited extension of time provisions. However, in the longer JCT 2024 suites, these have been refined, with clearer procedural requirements and updated references to epidemic or legislative change type events, reflecting lessons learned from the disruption of recent years. We expect similar changes to be made to the longer SBCC forms, which we will continue to monitor.

Contractor’s design liability 
On design liability, the Minor Works Building Contract with contractor’s design makes a minor change to refer to reasonable skill and care (removing diligence). Fitness for purpose obligations are also expressly excluded (to the extent permitted by law), which in light of market concerns and insurance realities will be particularly important for contractors on Scottish projects. Meantime it is expected under the SBCC Design & Build suite (once released), that the standard of care for contractor's design will be changed further, to refer to the skill and care to be expected of the architect or other equivalent designer, experienced in works of a similar complexity. This would align with the changes seen in the JCT 2024 suites.

Liquidated damages 
The treatment of liquidated damages has been updated following the Supreme Court's decision in Triple Point Technology Inc v PIT Public Company Ltd [2021] UKSC 19. The clause now expressly provides for liquidated damages up to the date of termination, after which the employer can rely on other rights and remedies, including general damages. This resolves a point that had created real uncertainty for contracting parties.

SBCC 2024: Familiar, but evolved

Overall, the SBCC 2024 amendments are evolutionary rather than revolutionary. As expected, they mirror the JCT 2024 changes in both structure and modernised drafting, legislative alignment and incremental risk clarification, while remaining rooted in the Scottish legal context. For organisations operating across both jurisdictions, the close alignment between SBCC and JCT will provide welcome consistency, albeit always subject to the nuances of Scots law.

One to watch: we are monitoring whether SBCC will introduce a new Target Cost Contract as part of the 2024 roll out. SBCC has said it will wait to see the uptake / use of the new Target Cost suite introduced with the JCT 2024 editions in England.

If you would like to discuss how SBCC 2024 may affect your procurement strategy or live projects, please get in touch with the Construction and Projects team.

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