Monthly Payment Certification

Interim certificates provide a mechanism for the Client to make payments to the contractor before the works are complete.

Interim payments can be agreed in advance and paid at particular milestones, but they are more commonly regular payments the value of which is based on the value of work that has been completed (this is the actual value of the work completed, taking into account variations etc). The amount of these payments is entered onto an interim certificate valued by the cost consultant and the Client must honour the certificate within the period stipulated by the contract.

Interim certificates should make clear the amount of retention and a statement should also be prepared showing retention for nominated sub-contractors if there are any. The contract may require that retention is kept in a separate bank account and that this is certified. In this case, the Client will generally keep any interest paid on the account.