Today marks the end of the JCT 2016 suite as the standard form for new construction contracts. For local authorities, housing providers and public sector organisations, this is more than an administrative update. It has immediate implications for procurement planning, contract drafting and governance.

From tomorrow, authorities issuing new construction procurements should move to the newer JCT 2024 editions. Continuing to use JCT 2016 for new procurements could create governance, risk and compliance issues, particularly where organisations are expected to use current and supported contract forms.

This creates a practical question for procurement and commissioning teams. What should authorities do now, and what happens to contracts already in progress?

What is happening to JCT 2016

The Joint Contracts Tribunal periodically updates its contract suites to reflect legislative change, case law, market practice and risk allocation developments. The release of JCT 2024 represents the latest update across the standard construction contract family.

With JCT 2024 now available, JCT 2016 is being phased out for new procurements. While existing contracts awarded under JCT 2016 remain valid, authorities should avoid launching new tenders using outdated versions unless there is a clear and documented justification.

This matters particularly for local authorities delivering:

- capital works programmes - housing development - maintenance frameworks - infrastructure works - regeneration projects

Many of these procurements rely on standard form contracts, and the version selected can significantly affect risk allocation and contract management obligations.

Why this matters for local authorities now

Local authorities often run long procurement pipelines. Some projects currently in development may still reference JCT 2016 in draft documentation.

If those procurements are launched after today, authorities should consider whether documentation needs to be updated before release.

Using outdated forms can create several risks:

- inconsistent contract terms across programmes - outdated references to legislation or procedures - increased negotiation during contract award - governance concerns around use of superseded forms

In addition, auditors and governance teams may question why an authority selected an outdated contract suite where a newer version was available.

What about procurements already in progress

Authorities do not necessarily need to halt procurements that are already live. Where a procurement has already been issued using JCT 2016, changing the contract mid-process may create more risk than proceeding.

However, authorities should:

- review procurements still in draft - assess upcoming projects scheduled for release - update template documentation - brief commissioning and project teams

This helps avoid launching new procurements with outdated forms simply because templates have not yet been updated.

Key areas likely to change in JCT 2024

While organisations will review the detail over time, typical JCT updates often affect:

- risk allocation provisions - contract administration procedures - insurance requirements - payment provisions - termination clauses - legislative references

These changes can affect how contracts are managed day-to-day, not just how they are procured.

For procurement teams, this means coordination with legal, project management and contract management functions is important.

The governance issue many councils overlook

One of the most common issues in local authorities is reliance on historic templates. JCT forms are often embedded in framework agreements, standard tender packs or capital programme documentation.

Without a structured review, outdated forms can remain in circulation for months.

Authorities should therefore:

- review procurement templates - update framework documentation - brief capital delivery teams - notify legal and procurement functions

This is particularly important for authorities running decentralised procurement models where service areas manage construction procurements independently.

What councils should do now

Local authorities should take several immediate steps:

Review upcoming construction procurements scheduled for release

Update procurement templates and documentation

Communicate the change to commissioning and capital delivery teams

Engage legal teams to review preferred contract positions

Confirm governance approval routes for updated contract forms

These actions help ensure consistency across the organisation and reduce procurement risk.

If your authority is unsure whether its construction procurement templates are up to date, or wants support reviewing its approach, you can contact Prestige Commercial Consulting via the contact page.

Wider procurement implications

The move away from JCT 2016 also highlights a broader procurement governance issue. Many organisations maintain contract templates for years without structured review.

The Procurement Act 2023 is increasing expectations around governance, transparency and risk management. Ensuring contract templates remain current is becoming more important.

Authorities that maintain updated contract documentation are better placed to:

- reduce procurement delays - minimise legal negotiation - improve supplier clarity - strengthen governance assurance

Building confidence across your organisation

For many councils, construction procurement sits across multiple teams including property, housing, regeneration and capital delivery.

Ensuring all teams understand when to use updated contract forms is essential.

Where organisations need further advice, tailored support or simply want to discuss the practical implications of the change, they can get in touch through the Prestige Commercial Consulting contact page.

Final takeaway

The end of JCT 2016 marks an important transition point for public sector construction procurement.

Existing contracts remain valid, but new procurements should move to updated forms. Councils that act now to review templates, update documentation and brief teams will reduce risk and improve procurement consistency going forward.

Those that do not may find outdated contract forms creating avoidable governance and delivery challenges across their capital programmes.