Activity

Description of risk

Risk borne by Contractor

Risk borne by Authority

Comments/Actions to be taken to minimise risk

A. Demand

Inability of LA to provide tenants

•  cost of securing properties

•  paying for service not used

•  Will not be a Compensation Event

• Low risk

Failure of Authority to allocate by timescales in agreed procedure

•  costs in excess of budget

•  loss of rental income

•  increased costs

•  May be a Compensation Event

Void turnover

•  costs in excess of budget

•  Agreed excessive void turnover will be a Compensation Event