NSW Supporting Statement by Head Contractor
In NSW, a head contractor must attach a supporting statement to every payment claim it serves on the principal under the Building and Construction Industry Security of Payment Act 1999 (section 13(7)).
The statement is a declaration that all subcontractors have been paid all amounts that are due and payable for the work concerned. Amounts genuinely in dispute aren’t counted as due, but those subcontractors must still be listed. A director or other authorised person signs it.
Use the approved form
The statement must be in the form approved by NSW Fair Trading. There are two versions:
- Supporting Statement: Construction Contract
- Supporting Statement: Owner Occupier Construction Contract
Penalties
- No supporting statement: up to 200 penalty units for an individual, with much higher penalties for a corporation.
- A false or misleading statement: the same fines, plus up to 3 months’ imprisonment for an individual.
Directors can also be personally liable for a company’s offence.
Why it exists
The requirement was introduced after the collapse of Reed Constructions. Government agencies had paid Reed for work done by its subcontractors, but the money never reached them.
Get it right
How you fill in the statement matters, given the penalties. We can check your supporting statement and payment claim before you serve them.
Call or contact us for help. See also NSW Security of Payment Act.
This page is general information, not legal advice. Last reviewed October 2026.