Retention Accounting & Recovery

Stop Retention Money Sitting Unclaimed. Retention withheld on completed work can sit dormant for months or years past its release date simply because nobody is tracking the due date or chasing the client. We track every retention across every contract and recover what’s owed before it’s forgotten.

  • Retention Tracking Specialists
  • Late-Payment Recovery Experts

£3.1m+

CIS Recovered

100 %

HMRC & MTD Ready

50+

Five-Star Reviews

Construction

Tax EXPERTS

Fixed Fee

No hidden charges

HMRC Compliance

Who We Are

Accountants who track retention so you don’t have to remember to

Retention typically withholds 5% of contract value at practical completion, released in two stages, and with multiple contracts running simultaneously, release dates are easy to lose track of. We log every retention on every contract, flag release dates before they’re missed, and chase overdue payments as a standard part of our service rather than an afterthought.

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Retention due-date tracking across every live and completed contract

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Proactive chasing of overdue releases, not passive waiting

Chase what’s owed, don’t wait for it

Recovering Overdue and Disputed Retention

Late retention release is one of the most common cash-flow problems in construction, and clients often only pay once formally chased. We pursue overdue retention directly on your behalf, escalating through formal demand where necessary, and build cash-flow forecasts that account for realistic release timing rather than optimistic assumptions.

100%

CIS Compliance Rate

Never lose sight of money you’re owed

Tracking Every Retention, Every Contract

With several contracts running at once, each carrying its own practical completion date, defects liability period, and final release date, retention becomes very easy to lose track of without a dedicated system. We build a retention ledger across your whole contract portfolio, so every sum withheld, its release trigger, and its due date are visible in one place at all times.

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Full retention ledger covering practical completion and final release stages

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Automated alerts before each retention becomes due

Common Pain Points

Why Retention Money Goes Unrecovered

Retention is one of the easiest sums to lose track of across multiple contracts, and the cost of inaction compounds over time.

No Central Tracking Across Contracts

Without a single ledger, retention due dates across multiple jobs are tracked inconsistently or not at all, and sums are simply forgotten.

Clients Delaying Release Past the Due Date

Retention is often paid late by default, and without active chasing, delays can stretch from weeks into months or years.

Disputes Over Defects Blocking Release

Retention release is sometimes withheld over disputed defects, and without proper documentation, resolving these disputes drags on unnecessarily.

Cash Flow Strain From Withheld Sums

Retention can represent a meaningful percentage of contract value sitting outside the business for extended periods, straining cash flow on otherwise profitable jobs.

Retention Written Off as Uncollectable

After enough time passes, some businesses simply write off retention as a bad debt rather than pursuing genuinely recoverable sums.

Cash Flow Gaps Between Deduction and Refund

With tax withheld monthly but refunds only processed after the tax year ends, subcontractors can face a cash squeeze even while profitable on paper.

Free Consultation

Let’s talk about your construction accounting challenges

Book a 30-minute call with our specialist accountant for construction business. We’ll look at how your business is set up and flag quick wins you can act on straight away.

  • CIS and VAT reverse charge handled correctly
  • Deep expertise in contractor, subcontractor tax rules
  • Forward-looking advice, not just year-end filing
  • Transparent fixed fees, no surprises
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Our Services

Comprehensive Retention Accounting and Recovery Support

From tracking to recovery, we manage the full retention lifecycle across every contract.

Retention Ledger Setup

We build and maintain a full ledger tracking every retention sum, its release trigger, and its due date across your contract portfolio.

 

Release Date Monitoring & Alerts

We flag upcoming and overdue retention releases before they’re missed or forgotten.

Overdue Retention Chasing

We pursue overdue releases directly with clients, escalating formally where required.

Cash Flow Forecasting Including Retention

 We build forecasts that reflect realistic retention release timing rather than optimistic assumptions.

Bad Debt & Dispute Support

We help document and resolve disputes blocking retention release, and advise when formal bad debt treatment is appropriate.

 

Contract-by-Contract Retention Reporting

We provide clear reporting on outstanding retention across every live and recently completed contract.

A Simple, Fast Onboarding Process

Four stages from enquiry to full onboarding

Moving to a new accountant mid-contract feels risky, so we have built a process designed to protect your CIS records, VAT position and ongoing site work throughout.

Initial Consultation

A free 30-minute call to walk through your current contracts, subcontractor arrangements and any outstanding CIS or VAT issues.

Custom Fee Proposal

Within 48 hours, you receive a fixed-fee proposal built around your actual contract volume and subcontractor headcount, not a generic package.

Coordinated Transition

We contact your current accountant directly to transfer CIS records, VAT history and working papers without any gaps in compliance.

Continued Support

Once onboarded, our accountant remains your single point of contact for every contract, HMRC query and financial decision going forward.

Client Stories

Real feedback from real construction businesses

Over 60 verified five-star reviews from subcontractors, contractors and developers across the UK.

★★★★★

“I’d been under-claiming CIS repayments for two years without realising it. They found and recovered £14,000 within weeks of taking us on. Nobody had ever explained the scheme to me this clearly before.”

Gary Mitchell

Subcontractor · Leeds

★★★★★

“We had no real idea which contracts were making money until they built us a proper job-costing system. Now we price the next tender based on actual data, not guesswork.”

Karen & Tom Whitfield

Groundworks Contractors · Bristol

★★★★★

“Every site brings its own VAT and SDLT questions, and they have never once been slow to answer. Switching from our old firm was the easiest financial decision we have made in years.”

Daniel Osei

Construction Developer · Manchester

Why Choose US

Why choose Construction Tax Accountants

Dedicated Accountant

Your dedicated accountant already knows your subcontractor list, your live contracts and your VAT position, so every call picks up exactly where the last one left off.

ACCA Qualified Team

Registered as Chartered Certified Accountants, providing you with expert advice you can rely on and trust completely.

Transparent Fixed Fees

You will never receive an unexpected invoice. All fees are fixed, all-inclusive and agreed upfront, with no hourly rates and no extra charges for additional advice or HMRC queries.

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Repayments Chased, Not Just Filed

We do not wait for HMRC to process your CIS repayment in its own time. We track every claim and follow up until it is paid.

Cloud Systems Built for Site-Based Businesses

We work across Xero, QuickBooks and FreeAgent, integrated with CIS and job-costing tools so your figures are accurate whether you are in the office or on site.

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Beyond the Numbers

We connect clients with invoice-finance providers, contractor-insurance brokers and CITB levy specialists as part of the relationship, not as an upsell.

FAQS

Commonly Asked Accounting Questions about Retention Accounting &
Recovery
What is retention in a construction contract?
A percentage of contract value, commonly around 5%, withheld by the client and released in stages, typically at practical completion and again after the defects liability period.
Why does retention get missed or forgotten?

Without a central tracking system, businesses running multiple contracts simultaneously lose sight of individual release dates, especially on completed jobs.

What can I do if a client won't release overdue retention?

Formal written demand is often the first effective step, followed by escalation depending on the contract terms and the size of the sum involved.

Can retention be withheld indefinitely over a dispute?

No. Retention release should follow the timeline set out in the contract, and disputes over defects should be documented and resolved rather than used to delay payment indefinitely.

How does retention tracking help my cash flow?

Knowing exactly when sums are due lets you forecast cash flow accurately and follow up before delays become long-term problems.

Why choose Construction Tax Accountants for retention accounting?

We build dedicated retention ledgers for every construction client, so nothing is missed across your full contract portfolio, and we actively chase overdue sums rather than waiting for clients to pay voluntarily.

Still have questions?

Our construction accountants are ready to answer any questions about your specific tax situation  with no obligation for an initial conversation.

  • Mon–Fri, 9am–5:30pm

 

Book Free Consultation