Difference between contractor and subcontractor
In very broad terms, contractors are the organisations appointed by clients to carry out construction works. However, this apparently simple relationship is complicated by the fact that contractors tend not to have all the trades required to construct a building in their direct employment. This means that a contractor is likely to appoint a range of sub-contractors to build the works for which they have been contracted. Sub-contractors (or subcontractors) are sometimes referred to as 'subbies', or increasingly, simply as 'suppliers'.
Subcontractors are contracted by the main contractor, they are not contracted by the client.
There are three main types of sub-contractor:
- A domestic sub-contractor is a sub-contractor selected and appointed by the main contractor.
- A nominated sub-contractor is a sub-contractor selected by the client to carry out an element of the works. The client negotiates a price with the nominated sub-contractor and then instructs the main contractor to appoint them for those works.
- A named sub-contractor is a sub-contractor for a particular package selected from a list of acceptable sub-contractors provided by the client.
Increasingly, sub-contractors will themselves sub-contract elements of their package of works to other suppliers (sub-sub contractors). This has resulted in the development of complex supply chains, with different tiers of suppliers, some of whom may be entirely unknown to the client. For more information see: Suppliers.
[edit] Related articles on Designing Buildings
Featured articles and news
CIOB signs up to Green Skills At Cop campaign
In preparation for COP29 on 11 Novermebr in Azerbaijan.
2024 ECA Industry Awards evening
Full list of electrical contractors scooping top prizes.
Briefing on the implications of the final Grenfell inquiry report
What it means for Architectural Technology professionals.
CIOB Art of Building photo contest 2024
International showcase for the very best photography of the built environment.
Celebrating architecture's eloquent champions.
Unusual perspectives on 1960s’ thinking.
AI and the challenges to intellectual property
The legal landscape of adopting AI now and in the future.
Worrying landscape for Welsh construction SMEs revealed.
In recent risk factor analysis report completed by CIOB.
Construction Sport survey highlights risks of dehydration
Supporting construction workers to avoid dangers.
Can your business afford to ignore mental well-being?
£70 - 100 billion annually in UK construction sector.
Mental health in the construction industry
World Mental Health Day 10 October.
Construction awards provide relief in wake of ISG collapse
Spike in major infrastructure awards, housing up but short of targets, are ISG collapse impacts yet to come.
Biodiversity net gain with related updates and terms
Only 0.5% of applications subject to BNG in the context significant proposed changes to planning.
As political power has shifted from blue to red
Has planning now moved from brown to green?
The role of construction in tackling the biodiversity crisis
New CIOB Nature of Building digital series available now.
Comments
[edit] To make a comment about this article, or to suggest changes, click 'Add a comment' above. Separate your comments from any existing comments by inserting a horizontal line.