What is a final account in building?

The final account is the agreed final price of a building job: the original contract price, plus extras both sides agreed, minus credits for work taken out, minus what’s already been paid. What’s left is the balance due. If the final bill is higher than you expected, the difference is almost always extras — so the first question is which extras were agreed, and how.

How a final account is worked out

Checking a builder’s final bill

• Compare it with the quote or contract.
• List every extra and when it was agreed — was it in writing?
• Check credits for anything left out or changed to something cheaper.
• Check what you’ve paid.
• Check VAT is shown the same way as on the quote.
• Ask for a breakdown of anything you can’t match.

If the final bill is higher than the quote

According to Citizens Advice, a quote is a promise to do the work at an agreed price; the builder generally can’t charge more unless you agreed to extra work. An estimate is a best guess, and the final price must be reasonable.

1. Put your concerns in writing.
2. Say what you think is due, and pay that part.
3. Get another builder’s opinion if needed.
4. Use the trade body’s dispute service or mediation.

See what to do in a dispute with your builder and Citizens Advice: problems with the cost of building work.

Builders: agreeing the final account

Send it as a one-page summary with every extra and credit listed and when each was agreed, and ask the client to sign it off. If it’s been agreed as you go, this is a formality. For when it isn’t, see the letter before action guide. Planning payments well from the start helps too — see stage payments.

Signing off

Confirm the final figure and that the work is complete apart from listed snags. The defects period starts from completion.