In 2026, UK construction is facing a ‘perfect storm’ of new standards, resulting in long-term change for the industry. Nick Smith, Head of Sustainability and Regulation at Once For All, outlines what businesses need to prepare for…
We understand from our customers that the regulatory developments in 2025 were not actually as impactful as they had expected. However, changes are most definitely on the horizon for 2026, leading to a significant shift in compliance requirements. This suggests that the upcoming year may bring increased pressure on buyers to thoroughly vet their suppliers.
Procurement teams will be looking for proof of good payment practices, compliance with exclusion grounds, robust ESG data, and demonstrable competence. For suppliers, having this information readily available can speed up pre-qualification and unlock new opportunities. Here are four key triggers to be aware of:
October 2025: The 45-day prompt payment policy
As of October 2025, suppliers bidding for central government work must now prove they pay invoices in an average of 45 days or less, with at least 95% of invoices settled in 60 days. This change marks a sharp step-down from the 55-day benchmark set out in PPN 10/23 in early 2025.
Those who pay late risk losing access to lucrative contracts. For SMEs ensuring invoices are paid on time and promoting the fact, this could be a game-changer. The policy is newly in effect, and Constructionline is monitoring its impact on contractors bidding for central government contracts and their supply chains.
May 2026: Delivering a biodiversity net gain
Every new nationally significant infrastructure project (NSIP), including major transport schemes and energy developments, will be required to achieve a 10% biodiversity net gain (BNG). This has been in effect for most town and country planning projects since 2024, and it will extend to NSIPs starting in May 2026. The government outlined three ways to achieve BNG:
– create biodiversity on-site
– delivered through a mixture of on-site and off-site
– buy statutory biodiversity credits from the government
This presents both a compliance risk and a commercial opportunity for the construction supply chain. The demand for ecologists, landscape contractors, and verified credits is expected to grow rapidly, and main contractors will require subcontractors to demonstrate their contribution to delivering measurable biodiversity benefits.
Late 2026: Gas-free homes
The Future Homes Standard is set to transform housebuilding in the UK. Starting from late 2026 to early 2027, all new homes must be constructed ready for Net Zero. As part of this change, gas boilers will no longer be permitted in new developments. During the transition phase, housebuilders, developers, M&E contractors, manufacturers and design teams will need to adopt new approaches and prove compliance. Those who make changes early will benefit from a competitive edge.
Ongoing: Immigration rule changes
It’s not just construction developments that are being reshaped this year. Changes made by the Home Office in 2025 have made it more difficult for construction firms to hire overseas workers under the Skilled Worker visa route.
Contractors, who are already facing labour shortages, may find that these new regulations result in higher costs, longer lead times to fill positions, and an increased need to demonstrate competence and training among workers.
Ongoing reviews by the Migration Advisory Committee throughout 2026 may lead to further adjustments to these rules, so supply chains should stay informed.
Long-term view
While adopting new practices requires investment and vigilance, the long-term benefits for society, the environment and contractors make it a smart move.
Looking ahead, these changes should have a positive impact and contribute to a more resilient and sustainable construction sector. Like many of our customers, companies that are proactive in implementing these changes and have this information readily available will be better positioned to attract new contracts, talent, and drive innovation.
