Construction & Engineering
STANDARD FORM CONTRACTS
RIAI The RIAI published its new suite of 2025 standard form contracts, as we outline here: Construction Law Update: RIAI Construction Contract 2025.
Capital Works Management Framework ("CWMF") In the price variation clauses introduced in the Public Works Contracts in 2023, contracting authorities could set the threshold of inflationary risk to be retained/priced by the tenderer. The contracts provided for a range of inflation percentages from 3%-10% with a default value of 5%. Following consultation, this is being updated to a range of 3-6% with the default value remaining at 5%. Further information is available here: Reduction in price variation clause threshold.
The Office of Government Procurement has also published a project lifecycle chart to align with the Government’s Infrastructure Guidelines.
NEC In the UK, NEC has launched a digital contract platform intended to facilitate contract set-up. Its features include enhanced collaboration tools to support multi-stakeholder projects.
LEGISLATION AND POLICY
Housing
EU leaders called on the European Commission to present a plan for affordable housing. As indicated in our State aid section, the European Commission is consulting until 4 November 2025 on a proposal to amend the Services of General Economic Interest State aid rules to help Member States provide affordable housing.
In Ireland, the Minister for Housing, Local Government and Heritage convened inaugural meetings of high-level groups established to accelerate housing delivery, identifying as a next step finalising details of a Housing Infrastructure Investment Fund. He also announced that builders will be able to develop new wastewater treatment facilities in collaboration with Uisce Éireann for smaller housing developments of up to 40 homes.
New apartment sales
In Ireland, the Government announced that the VAT rate on new apartment sales will be cut to 9% from 13.5%, with the intent of stimulating apartment construction. The rate cut does not apply to construction services.
Energy performance of buildings Under Article 7(3) of the Energy Performance of Buildings Directive (the “EPBD”), the Commission is required to establish a framework so that practitioners can calculate the whole life-cycle global warming potential of new buildings. The requirement to calculate this will apply to large new buildings from 2028 and all new buildings from 2030. A draft act is available here: EU framework for calculating the global warming potential of new buildings.
The EPBD also requires Member States to set minimum energy performance requirements for buildings and building elements with a view to achieving at least cost-optimal levels. The Commission made Delegated Regulation (EU) 2025/2273 supplementing the EPBD as regards the establishment of a comparative methodology framework for calculating cost-optimal levels of minimum energy performance requirements for buildings and building elements. This likely replaces Commission Delegated Regulation (EU) 2025/1511 which should now be considered null and void on foot of a corrigendum.
A corrigendum was also issued for Commission Implementing Regulation (EU) 2025/1328 establishing common templates for the transfer of information from national energy performance of buildings databases to the EU Building Stock Observatory.
District heating
The Government has opened expressions of interest to support early-stage (pre-construction) development of efficient district heating networks. Further information is available here: €5 million pre-construction fund launched to accelerate district heating projects in Ireland.
Biomethane production
We recently looked at the development of biomethane production facilities in Ireland: Biomethane: Guide to project development in Ireland. We noted that eligibility for green certificates and Guarantees of Origin is based on sustainability standards in the Renewable Energy Directive, and that Ireland’s Biomethane Strategy indicated that compliance with a forthcoming Biomethane Sustainability Charter was also envisaged. The Government has now published a Biomethane Environmental Sustainability Charter.
The EU Deforestation Regulation
The EU Deforestation Regulation aims to tackle deforestation and forest degradation by regulating the placement and export of certain products (which include wood) within the EU market. The European Commission has proposed targeted amendments to the Regulation to streamline implementation for downstream operators and traders, and for micro- and small undertakings, while preserving full due diligence obligations at the point where products are first placed on the EU market. Further information is available in our insights post here: Proposed Amendments to EUDR for Downstream Supply Chains.
Construction products
The Department of Housing, Local Government and Heritage notes it is the designated notifying authority under the Construction Products Regulation (EU) 305/2011, responsible for setting up procedures for assessment and notification of the bodies that carry out tasks in the assessment and verification of constancy of performance of products. Certain provisions of the Regulation are scheduled to be repealed by Regulation (EU) 2024/3110 laying down harmonised rules for the marketing of construction products.
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