6. Budget Guides, Budget Ranges & Preliminary Estimates
Budget guides, indicative prices, guide ranges and preliminary estimates are provided to assist Clients in assessing the potential viability of a project before a detailed assessment, survey or quotation has been completed.
Unless expressly confirmed as a fixed price or accepted quotation, such figures are indicative only and do not constitute an offer capable of acceptance.
Budget ranges are prepared using the information available at the time and may change following site inspections, design development, material selections, specification changes, concealed conditions or revised Client requirements.
The Client acknowledges that the purpose of a budget guide is to assist early decision-making and not to establish the final contract price.
6a. Fixed Price Project Services
6a1. Application
This section applies where WSC Plumbing & Home Services Ltd (“WSC’) has expressly identified a service, package of works or project as being provided for an agreed fixed price.
A price shall not be treated as fixed unless it is expressly described as a “fixed price” with in the accepted quotation, proposal, project schedule or written variation.
Estimates, budget ranges, provisional sums, allowances, hourly-rate works, day-rate works and anticipated material costs are not fixed prices unless expressly stated otherwise.
6a2. Basis of the Fixed Price
The fixed price is the agreed commercial price for WSC to manage and deliver the defined scope of works descried within the accepted quotation or proposal.
a. project planning and preparation;
b. procurement and coordination of materials;
c. labour and specialist trades;
d. project management and sequencing;
e. transport, collection and delivery arrangements;
f. use of tools, equipment and consumables;
g. administration and supplier coordination;
h. testing, commissioning and certification expressly included within the scope;
i. WSC’s commercial overhead, responsibility, risk and profit; and
j. completion of the defined outcome described in the accepted quotation.
The fixed price is not calculated solely by reference to the number of labour hours spent on site or the original purchase cost of individual materials.
6a3. Bundled Commercial Price
Unless expressly stated otherwise, a fixed-price project is supplied as a complete commercial package.
WSC is not required to separate the fixed price into individual labour rates, trade costs, material purchase prices, overheads, management charges or profit margins.
This does not prevent WSC from providing a clear description of the works, materials, inclusions, exclusions, allowances or payment stages forming part of the agreed package.
6a4. Defined Scope
The fixed price applies only to the works, quantities, specifications and assumptions expressly included within the accepted quotation and supporting contract documents.
Items not expressly included shall be treated as excluded, notwithstanding that they may be adjacent to, connected with or desirable for the completion of the wider property improvement.
The Client should raise any uncertainty concerning the scope before accepting the quotation.
6a5. Fixed Price and Time Spent
The fixed price shall remain payable where WSC completed the defined scope using fewer labour hours, fewer attendances or a difference sequence of works than many originally have been anticipated.
The Client purchasing WSC’s management delivery of the agreed scope and outcome, rather than purchasing a specified number of labour hours.
Equally, where completion of the defined and unchanged scope reasonably requires more time than WSC initially anticipated, no additional labour charge shall be made solely because WSC underestimated the time required.
This protection does not extend to variations, additional works, Client-caused delay, third-party disruption, concealed conditions or circumstances falling outside the agreed scope
6a6. Materials Included Within the Fixed Price
Where materials are included within the fixed-price package, their cost forms part of the overall commercial price.
Any trade discounts, rebates, purchasing arrangements or difference between WSC’s acquisition cost and the amount incorporated with in the fixed price remain part of WSC’s commercial pricing structure.
Unless expressly agreed otherwise, WSC is not required to provide supplier invoices, trade invoices or a cost-by-cost reconciliation for materials forming part of the fixed-price package.
This clause does not affect any material description, specification, allowance, ownership information, manufacturer warranty or other information WSC has expressly agreed to provide.
6a7. Material Selections and Substitutions
Materials shall be supplied in accordance with the accepted quotation, specification or subsequently agreed selection.
Where a specified item becomes unavailable, discontinued, subject to unreasonable delay or unsuitable due to circumstances identified during the work, WSC shall discuss the position with the Client before making a material change
Any replacement shall, where reasonably practicable, be of an equivalent function and appropriate quality. Any resulting change in price or programme must be agreed in writing where it materially affects the Client.
6a8. Provisional Sums and Allowances
A provisional sum or material allowance is not a fixed price for the relevant item.
Where the actual agreed cost exceeds the stated allowance, the difference and any applicable procurement, handling or agreed commercial charges shall be payable by the Client.
Where the actual agreed cost is lower than the allowance, the Client shall receive the appropriate adjustment unless the quotation expressly states that the allowance forms part of a wider fixed commercial package that is not subject to reconciliation.
The quotation should identify whether each allowance is adjustable or included within a non-reconcilable package price.
6a9. Additional and Separate Works
Works requested or identified outside the fixed-price scope shall be treated separately.
Additional works may be provided by :
a. a further fixed price;
b. an agreed variation;
c. an hourly or day rate;
d. a labour charge plus materials;or
e. a labour pricing structure confirmed in writing.
Where WSC agrees that additional works will be charged by reference to actual material expenditure, relevant material receipts or supplier records may be collated and provided in accordance with that separate arrangement.
The provision or receipt for additional works does not convert the original fixed-price package into an open-book or cost-reimbursable contract.
6a10. Variations
A variation includes any Client-requested addition, omission, substitutions, change or specification, change of sequence or alteration to the agreed scope.
Where practicable, the effect of a variation on price and programme shall be confirmed in writing before the varied work proceeds.
Where immediate action is reasonably required to protect the property, maintain safety, prevent damage or avoid substantial disruption, WSC may seek the Client’s written or recorded approval to proceed before a full variation document is issued.
No person other than the Client or the Client’s authorised representative may instruct a variation.
6a11. Concealed and Unforeseen Conditions
The fixed price is based upon the property conditions reasonably visible, disclosed or capable of assessment when the quotation is prepared, together with any assumptions expressly stated in the contract documents.
Unless expressly included within the quotation, the fixed price does not include additional work arising from concealed or unforeseen conditions, including but not limited to:
a. defective, unstable or contaminated substrates;
b. concealed leaks, corrosion or damaged services;
c. asbestos or other hazardous materials;
d. inadequate structural support;
e. non-compliant or unsafe existing installations;
f. concealed electrical, gas, drainage or water-service defects;
g. rot, damp, infestation or hidden water damage;
h, inaccurate information supplied by the Client or a third party; or
i. conditions that could not reasonably have been identified before opening, removal, excavation or intrusive investigation.
Where such a condition is discovered, WSC shall explain the issue to the Client and, where reasonably practicable, provide options of the necessary additional work.
Any additional work shall be subject to written agreement or another applicable provision within these Terms and Conditions.
6a12. Existing Installations and Preparations Works
Where the fixed-price scope relies upon an existing floor, wall, structure, service, fitting or substrate, WSC may state assumptions regarding its condition and suitability.
Preparation reasonably described within the quotation is included. Remedial work beyond that description shall not automatically be included merely because it becomes necessary before the intended finish can be installed.
For example, an agreed floor-preparation allowance does not automatically include wholesale removal or reconstruction of an unknown defective substrate unless that work is expressly identified within the scope.
6a13. Client-Supplied Products
Unless expressly agreed otherwise, the fixed price does not include:
a. sourcing, checking or transporting Client-supplied products;
b. delays caused by their late delivery;
c. alteration required because they are unsuitable, incomplete or incorrectly specified;
d. replacement of damaged or defective Client-supplied products; or
e. warranty responsibility for the products themselves.
Additional labour or attendance arising from Client-supplied products may be chargeable subject to written notification and agreement.
6a14. Client and Third-Party Delay
The fixed price assumed that WSC will receive reasonable access, timely decisions, agreed payments, necessary Client selections and an unobstructed working environment.
Where progress is delayed or disrupted by the Client, the Clients’ representatives, other contractors, neighbours or unrelated third parties, WSC may reasonably revise the programme.
Any demonstrable additional attendance, labour, storage, travel, remobilisation or other reasonable cost caused by such disruption may be charged, provided that WSC explains the basis of the charge and, where practicable, obtains the Client’s agreement before incurring it.
6a15. Programme and Completion Dates
Any programme or completion date associated with a fixed-price project is subject to:
a. continued access to the property;
b. timely Client decisions and payments:
c. availability of materials and specialist trades;
d. agreed variations;
e. concealed or unforeseen conditions: and
f.circumstance beyond WSC’s reasonable control.
A change to the programme does not itself alter the fixed price unless it results from a matter for which these Terms permit an additional charge.
6a16. Omissions and Reductions
The Client may not unilaterally deduct the perceived retail cost of an omitted item from the fixed package price.
Where the Client request that part of the agreed scope be omitted, WSC shall assess any appropriate price adjustment by considering;
a. costs no longer incurred;
b. materials already ordered or committed;
c. planning and work already completed;
d. cancellation or restocking charges:
e. the effect on sequencing, management and overhead recovery; and
f. any replacement or revised work required.
Any adjustment must be confirmed in writing.
6a17. Payment
The fixed price shall be payable in accordance with the deposit, interim payment, stage-payment or final-payment schedule stated in the accepted quotation.
A disagreement concerning one part of the works does not entitle the Client to withhold payment for separate work that has been properly completed, subject always to the Client’s statutory rights.
6a18. Completion of the Fixed-Price Scope
The fixed-price service shall be regarded as complete when the works included with in the agreed scope have been substantially completed and are capable of their intended use, subject to any minor outstanding items that do not materially prevent such use.
Minor defects, adjustments or snagging items shall be recorded and addressed with in reasonable period. Their existence does not automatically entitle the Client to withhold the entire outstanding contract balance.
Nothing in this section limits the Client’s statutory rights or WSC’s obligation to carry out the service with reasonable care and skill.
6b. Fixed Repair Work
The total charge to you will be given as a firm cost (manifest errors exempted), inclusive of labour & materials, and will be within 20% over the equivalent total hourly rate cost for subcontractor work. All costs are subject to VAT at the prevailing rate.
Where a written estimate has been supplied to you, the total charge outlined in the estimate should not exceed the actual time taken by more than 20%, but may be revised in the following circumstances:
- If, after submission of the estimate, you instruct us (in writing or verbally) to carry out additional work not referred to in the estimate.
- If, after submission of the estimate, there is an increase in the price of materials.
- If, after submission of the estimate, it is discovered that further work needs to be carried out which were not anticipated when the estimate was prepared.
- If, after submission of the estimate, it is discovered that there was a manifest error when the estimate was prepared.
- Requirement of a detailed Insurance Report (in addition to the estimate and invoice) will incur a nominal charge of £65.00 + vat.
We will not be under any obligation to provide an estimate to you and will only be bound by estimates given in writing to you and signed by an authorised representative. We will not be bound by any estimates given orally or in which manifest errors occur.