northern irish building contractors

Captain Z

Hi
I was wondering if anyone had any experience with using a contrator from NI?

I will be tendering for an extension build in the next few months, and a developer I know said that the NI firms are very competitive at the moment. Indications that I am getting from ROI firms seem crazy!

I assume with freedom of services that there are no issues.

Thanks

rugbyman

While I have no direct knowledge of this, generally speaking wages in N.I. are 1oo euro per week cheaper than R.O.I. if there are considerable man hours then that saving could be considerable. then again your location may involve too much travel.
also black economy can be a factor in either case

regards

BryanF

Captain Z wrote: »

Hi
I was wondering if anyone had any experience with using a contrator from NI?

I will be tendering for an extension build in the next few months, and a developer I know said that the NI firms are very competitive at the moment. Indications that I am getting from ROI firms seem crazy!

I assume with freedom of services that there are no issues.

Thanks

just ensure that your NI main contractor is meeting ROI building regs, taxes, contractual requirements, insurances etc
has your architect or QS commented?

martinn123

Captain Z wrote: »

Hi
I was wondering if anyone had any experience with using a contrator from NI?

I will be tendering for an extension build in the next few months, and a developer I know said that the NI firms are very competitive at the moment. Indications that I am getting from ROI firms seem crazy!

I assume with freedom of services that there are no issues.

Thanks

The Budget has just changed your incentive to get a ''registered, tax compliant'' Irish Contractor

You can qualify for a tax rebate of 13.5%, for 2014/15 for amounts between 5K -30K

massey265

martinn123 wrote: »

The Budget has just changed your incentive to get a ''registered, tax compliant'' Irish Contractor

You can qualify for a tax rebate of 13.5%, for 2014/15 for amounts between 5K -30K

This sounds like a very good incentive, it will hopefully cut out the dole man from under cutting the honest contractor. is this rebate on materials and labour do you know?

martinn123

massey265 wrote: »

This sounds like a very good incentive, it will hopefully cut out the dole man from under cutting the honest contractor. is this rebate on materials and labour do you know?

Until the Finance Bill is published, details are just from the Budget speech, however it appears that the 13.5% Vat charged by a registered contractor on say an extension, which is materials and labour, will be refundable to the householder. On contracts Between 5k and 30k.
As you say it's to stop dole man from undercutting the registered Guy's.
I predict the Architects here will go mad, as now they may have to check the Tax-Compliance of the Contractor, as well as everything else

massey265

Thanks for reply, so I wonder will it work for self builds subbing out this work to different trades be entitled to this rebate,

martinn123

massey265 wrote: »

Thanks for reply, so I wonder will it work for self builds subbing out this work to different trades be entitled to this rebate,

I doubt it, as the speech mentioned, extensions, renovations, etc, and with a 30k limit, it's unlikely a self builder could make multiple claims, but the Finance Bill will reveal all

Curious Geroge

martinn123 wrote: »

I doubt it, as the speech mentioned, extensions, renovations, etc, and with a 30k limit, it's unlikely a self builder could make multiple claims, but the Finance Bill will reveal all

We'll know more once its published but with a limit of 30K, you'd be building the house for the next 10 years. Personally, bias and all I find it unfair if the guy building a new house employing many trade and buying all materials locally; keeping jobs in builders providers, paying vat on all material is not able to get any relief, this has been the way in the UK for years.

jonniebgood1

martinn123 wrote: »

I predict the Architects here will go mad, as now they may have to check the Tax-Compliance of the Contractor, as well as everything else

Not really- Proof of tax compliance is a simple 1 page letter from revenue that all compliant contractors should have. It has the relevant number that can be checked back to revenue when produced by the contractor (if deemed necessary).

jonniebgood1

Captain Z wrote: »

Hi
I was wondering if anyone had any experience with using a contrator from NI?

I will be tendering for an extension build in the next few months, and a developer I know said that the NI firms are very competitive at the moment. Indications that I am getting from ROI firms seem crazy!

I assume with freedom of services that there are no issues.

Thanks

A major issue with this that I have seen in the Cavan/ Monaghan area is that any problems that can develop in a building are not easy to resolve. If the NI contractor makes a mistake of some sort he can simply disappear into NI with very little legal comeback, it is a different jurisdiction. There are also issues with building regulations standards where there are differences between the 2 requirements. It is a big risk to get somebody from a different country (in law terms particularly) to engage in this IMO.

Hootanany

Something goes wrong I doubt if he will travel 100 miles down to fix it.

Captain Z

Thanks for the replies everyone.

From research on NI building firms websites, it appears that they complete quite a bit of work for ROI organisations, including state bodies/hospitals. So I expect that there is some claw back on work done if they are properly VAT registered.

The biggest savings appear to come from the labour and material costs which are significantly cheaper in NI than ROI.

I would be reticent to take business out of the local economy. But, for example, if there was a €10-€15k difference on a project worth €80k in ROI, i.e. it was €65k from an NI supplier due to lower labour and material costs, then it would be a no brainer. The VAT refund of a max of €4,050, which I would have to wait two years to receive is not much of an incentive to anyone. Plus if they are registered for VAT in Ireland, then I could probably still claim it back, increasing the savings.

I haven't broached this with my architect yet, and wanted some facts before I did.

I would still like to hear from anyone who has actually gone down the route of employing a contractor from the NI.

Thanks again