Fixed price contracts work best when the specification is complete and the existing fabric is well understood. Both sides know what they’re committing to. Cost Plus contracts work best when scope is uncertain and the client values transparency over price certainty — refurbishments of older properties often fit this pattern.

A recent Lower Portington refurbishment is a good example: the cottage’s existing fabric was uncertain enough that any fixed price would have carried a heavy risk premium. We ran a Cost Plus contract with active management, regular reporting and clear cost controls. The project came in under the original feasibility forecast.

Cost Plus carries risk if poorly managed. Done properly it can be the best-value option for the right project.