Construction Holdback Rules in British Columbia
Under the Construction Prompt Payment Act, SBC 2025, c. 24
British Columbia requires a statutory holdback of 10% of each payment (BC Builders Lien Act s. 8(1)-(2)), retained rather than paid out, to protect lien claimants further down the chain. It is a standing obligation that runs alongside the prompt-payment clock, not a payment dispute.
In British Columbia the holdback is held for 55 days before it can be released, tied to substantial performance and the expiry of the lien-filing window.
British Columbia holdback deadlines
The statutory clocks for this topic in British Columbia, with section citations.
| Clock | Value | Statute |
|---|---|---|
Holdback retained Percentage of each payment retained as statutory holdback to protect lien claimants. BC Builders Lien Act Section 8 | 10% | BC Builders Lien Act Section 8 |
Holdback release period Period that must run before holdback may be released. BC Builders Lien Act Section 8 | 55 days | BC Builders Lien Act Section 8 |
How much, and from what
British Columbia fixes the holdback at 10% of the value of the work or materials, taken from each payment as the work proceeds. The held-back amount accumulates over the life of the contract.
How long BC holds it
Holdback in British Columbia is retained for 55 days (BC Builders Lien Act s. 8(1)-(2)), running until the lien-filing window of 45 days (BC Builders Lien Act s. 20) has expired with no liens outstanding. Releasing it early can expose the payer to paying twice if a valid lien is later filed.
Releasing holdback
Once the British Columbia lien period has run and no liens are registered, the holdback can be released. Tiercord tracks the holdback balance and the release date for each contract and surfaces both on the deadline dashboard.
A note on status
British Columbia's prompt-payment framework is not yet in force, but that does not touch the figures on this page. The holdback percentage, the holdback period and the lien window all come from the Builders Lien Act (SBC 1997, c. 45), which is in force today and applies whether or not prompt payment has been proclaimed. It is the payment, notice and adjudication deadlines on the other BC pages that Tiercord computes as clearly-flagged working assumptions.
Holdback in British Columbia: FAQ
How much holdback must I retain in British Columbia?
10% of the value of the work or materials (BC Builders Lien Act s. 8(1)-(2)), taken from each payment.
How long is holdback held in British Columbia?
55 days (BC Builders Lien Act s. 8(1)-(2)), until the 45-day lien-filing window expires with no outstanding liens.
See the full British Columbia guide
Every deadline, notice and adjudication rule in one place.