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Bettesworth Construction
construction contracts

What Is a Construction Framework Agreement, and How Does It Work?

A construction framework sets the route and rules for future work; a call-off creates the contract for a specific project. Learn how supplier selection and UK public procurement rules work.

By Bettesworth Construction Team 9 min read
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A construction framework agreement is a pre-arranged route for buying future construction work. It sets out which suppliers can be used, what work is covered and how a buyer will choose a supplier for a particular project. The project-specific contract is usually created later, through a call-off. In short: the framework establishes the route and terms; the call-off is the contract for the particular work.

For UK public procurement, the rules depend on when and under which regime the framework was established. This matters because the Procurement Act 2023 came into force for new procurements on 24 February 2025, while qualifying frameworks established under the previous regime can remain governed by it until they expire.

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What a construction framework agreement does

A framework agreement organises procurement for work that a buyer may need in the future. It establishes the participating suppliers, the scope of work, the framework’s duration and the procedure for awarding project-specific contracts. Construction work may be divided into lots, for example by work type or geographic area, so buyers can identify the relevant supplier group. Lots can also provide a route for specialist suppliers to participate in the part of the framework that matches their work.

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The framework normally does not commission a particular building project or guarantee that any specified amount of work will be ordered. Instead, when a buyer has a defined requirement, it uses the framework’s call-off procedure to award a contract for those works. The framework documents determine what commitments exist and how work can be awarded. A supplier’s appointment therefore creates eligibility to compete for or receive a call-off under the rules; it is not itself a project award.

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The Procurement Act 2023 defines a framework as a “contract between a contracting authority and one or more suppliers that provides for the future award of contracts by a contracting authority to the supplier or suppliers.” The definition is in the Act. That statutory framework concept is relevant to public procurement under the Act; it should not be treated as a universal description of private construction agreements.

How a framework leads to a construction contract

  1. The framework is competed and established. The procurement identifies suppliers and appoints them to the framework, often for one or more lots. The framework documents set out its scope and rules. A buyer considering a later call-off should use those documents, not the framework’s name alone, to establish what was procured.
  2. The buyer checks that the framework fits. It confirms that the proposed construction requirement is within scope, that the intended buyer is entitled to use the framework and that the supplier or suppliers are appointed to the relevant lot. A mismatch in buyer eligibility, work category or location can mean the route is not available for that project.
  3. The buyer defines the project. It sets out the particular works it needs, including project-specific details such as scope, quantities and programme requirements. Those details distinguish the call-off from the broader arrangement made when the framework was established.
  4. The buyer follows the call-off method in the documents. Depending on the framework, the buyer may make a direct award using the stated selection method or invite eligible suppliers to a further competition. It must follow the published steps and criteria rather than choosing an informal alternative.
  5. The buyer and selected supplier enter the call-off contract. This contract covers the particular project and sets out its applicable scope, price and other project terms. The call-off, not the supplier’s framework appointment by itself, is the contract for the specific works.

The Government Commercial Agency describes a call-off as “a contract between a buyer and supplier.” The Agency’s practical guidance explains what a call-off is and how to get the process right. That distinction is useful when checking whether a framework appointment has actually resulted in a project commitment: look for the project-specific call-off and its terms.

Direct award and further competition

Direct award

A direct award selects an eligible supplier without inviting a new competition for that call-off. It is not an informal shortcut: the framework must provide for this route and state the selection method. The buyer must apply that method and any other relevant requirements in the framework documents and governing law.

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For a multi-supplier framework under the Procurement Act 2023, an award without competition is permitted only if the framework sets out the core terms of the call-off contract and an objective mechanism for selecting the supplier. Buyers should not assume that a framework place alone allows them to choose whichever supplier they prefer. The selection mechanism needs to be in the framework, and the buyer needs to apply it to the project.

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Further competition

A further competition invites eligible suppliers on the relevant framework or lot to submit offers for the project-specific requirement. The framework documents establish which suppliers may be invited, the procedure to follow and the criteria used to assess offers. The buyer then awards the call-off in accordance with that published process. It gives eligible suppliers an opportunity to offer for the defined project, but does not change the requirement to stay within the framework’s scope and rules.

The practical distinction is that a direct award applies the framework’s stated selection mechanism without a new project competition, while further competition asks eligible suppliers for project-specific offers. Neither route is automatically available for every framework. Which route is available, and how it must be carried out, depends on the framework. Check the buyer guide, relevant lot, selection criteria, pricing mechanism, call-off terms and process timings before taking action. Government guidance on buying through framework agreements explains the practical framework process.

What a framework place does—and does not—mean

  • It gives access to the framework’s route to work. An appointed supplier may be eligible to receive or compete for call-offs within its scope and lot.
  • It does not guarantee a project. A place on the framework does not itself establish that the supplier will win a particular call-off, or that the buyer will order a particular volume of work.
  • It does not create the project contract on its own. The call-off is the contract for the specific works, subject to the framework’s terms and process.
  • It does not let the buyer ignore the published award method. Buyers must use the procedure stated in the framework and follow the applicable legal regime. An informal preference for a supplier is not a substitute for the stated selection method.

Which UK public procurement rules apply?

The Procurement Act 2023 came into force for new procurements on 24 February 2025. A framework established under the previous Public Contracts Regulations 2015 regime may remain live under that earlier regime until its natural expiry, where it was validly established under those rules. The date of a call-off alone should not be used to assume which regime governs the framework. A buyer or supplier needs to identify when and under what rules the particular framework was established, then consult its documents and the relevant transition guidance.

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Before relying on a rule, establish the framework’s award date, governing documents, applicable legal regime and whether devolved procurement rules are relevant. The official Guidance on Frameworks and the Cabinet Office’s The Framework Practice Guide cover framework operation and the transition between regimes.

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Framework duration under the Procurement Act

For frameworks governed by the Procurement Act 2023, the general maximum term is four years. A longer term may be used where the nature of the goods, services or works warrants it, but the tender notice must explain the reasons. This rule should not automatically be applied to a legacy framework governed by the earlier regime; check that framework’s documents and applicable rules. The four-year figure is a general rule for frameworks under the Act, not a universal duration for every construction framework.

What to check before using or bidding through a framework

Use the framework’s actual documents rather than relying on the word “framework” as if it described one standard arrangement. For a buyer planning a call-off or a supplier deciding whether it can participate, verify the following:

  • Scope and lot: Does the framework cover the required construction work and relevant location or category?
  • Eligible parties: Is the intended buyer entitled to use the framework, and is the supplier appointed to the right lot?
  • Governing regime: Was the framework established under the Procurement Act 2023 or the previous rules? Are devolved procurement requirements relevant?
  • Term: Is it still in force, and what do its documents and applicable rules say about duration or extensions?
  • Award method: Is the call-off a direct award or further competition? What selection criteria, steps and timings apply?
  • Price and project details: How does the framework determine price, and what project-specific scope, quantities, programme and other terms must the call-off include?
  • Compliance and records: What notices, approvals and records are required by the framework documents and governing regime?

For buyers, these checks help establish that a proposed call-off is within the framework and that its selection route is the one the documents allow. For suppliers, they help establish whether the opportunity is within the supplier’s appointment and what process, pricing basis and project information will shape its offer. In either case, the buyer guide and call-off documentation are the practical starting points; a general description cannot supply missing framework-specific criteria or deadlines.

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Framework-specific rules and commitments can differ. A framework may set out pricing arrangements and call-off terms in advance, but the precise obligations, price calculation and project details must be checked in the relevant documents. Neither a general explanation nor the framework’s title can establish them. Similarly, the framework model alone does not establish that a call-off will be cheaper or faster, or that it will deliver a particular outcome.

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Public frameworks, private agreements and devolved procurement

The statutory dates and rules above concern UK public procurement. They do not establish that every private-sector construction framework is governed by the Procurement Act 2023, nor that identical rules apply in every devolved jurisdiction. Private agreements depend on their own terms and applicable law. Public buyers and suppliers should identify the framework’s jurisdiction and regime before reaching a legal conclusion.

No general savings percentage, performance outcome or guaranteed workload follows from the framework model itself. Any such claim would need evidence specific to the framework or project; the mechanism alone cannot establish it.

Frequently Asked Questions

Does a construction framework agreement guarantee a supplier work?

No. A place on the framework makes a supplier eligible to compete for or receive call-offs under its rules, but does not guarantee a particular project or volume. The specific work is contracted through a call-off.

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What is the difference between a framework and a call-off?

The framework establishes the route, scope, participating suppliers and award procedure for future work. A call-off is the contract between a buyer and supplier for a particular project, with its specific works and terms.

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Can a buyer directly award a construction framework contract?

Only if the framework documents permit a direct-award route and the buyer follows the stated selection method and applicable legal requirements. Under the Procurement Act 2023, a multi-supplier framework can allow an award without competition only if it sets out the core call-off terms and an objective supplier-selection mechanism.

How long can a construction framework last?

For a framework governed by the Procurement Act 2023, the general maximum term is four years. A longer term may be justified by the nature of the works if the tender notice explains the reasons. Legacy frameworks and other regimes should be checked against their own rules and documents.

Does the Procurement Act 2023 apply to every construction framework?

No. It applies to relevant public procurement under that regime, not automatically to private agreements or every devolved jurisdiction. Frameworks validly established under the former Public Contracts Regulations 2015 regime can remain governed by that regime until natural expiry. Check the framework’s establishment date, governing documents and jurisdiction.

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The Bottom Line

Bottom line: A construction framework sets the route and rules for future procurement; the call-off creates the contract for a specific project. Check the scope, eligible buyer and supplier, award method, price arrangements, term and governing regime in the framework documents before using or bidding through it.

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