If your business supplies services (with or without goods) in England and Wales, two statutes set the standards you must meet: the Supply of Goods and Services Act 1982 (SGSA) for business-to-business contracts, and the Consumer Rights Act 2015 (CRA) for supplies to consumers. They imply terms into your contracts automatically, so it pays to know them. Here is a plain-English guide.
Which Act applies?
- Consumer customer (an individual acting outside their trade/business): the Consumer Rights Act 2015 applies.
- Business customer: the Supply of Goods and Services Act 1982 applies.
The standards are very similar, but the consumer regime gives stronger, non-excludable protections and specific remedies.
The core implied terms for services
Under both Acts, where you supply a service you must meet these standards:
- Reasonable care and skill (SGSA s 13; CRA s 49), the service must be performed to the standard of a reasonably competent provider.
- Reasonable time (SGSA s 14; CRA s 52), where no time is fixed, the service must be carried out within a reasonable time.
- Reasonable price (SGSA s 15; CRA s 51), where no price is agreed, the customer need only pay a reasonable charge.
Under the CRA, there is an extra protection: information you give about the service (or about yourself) that the consumer relies on is binding as a term of the contract.
Where goods are supplied as part of the service
If your service also involves transferring goods (for example, parts fitted during a repair), further implied terms apply, the goods must be:
- of satisfactory quality;
- fit for purpose (including any purpose made known); and
- as described / matching any sample.
(For consumers these are in the CRA; for businesses, in the SGSA / Sale of Goods Act 1979.)
Remedies if you fall short
- Consumers (CRA): the main remedies are repeat performance (you put the service right at no extra cost) and, if that is impossible or not done within a reasonable time, a price reduction, up to a full refund in serious cases. For faulty goods supplied, consumers also have rights to reject, or to repair/replacement and refunds.
- Businesses (SGSA): falling short is a breach of contract, and the usual remedy is damages to compensate the customer's loss.
Can you limit these obligations?
Only within strict limits:
- You can never exclude liability for death or personal injury caused by negligence.
- Against consumers, you cannot exclude the core statutory rights, and other terms must be fair and transparent (CRA).
- In B2B contracts, attempts to exclude or limit liability are tested for reasonableness under the Unfair Contract Terms Act 1977.
Practical compliance tips
- Do the work competently and on time, most disputes are about quality or delay.
- Be accurate in quotes, marketing and information you give consumers, it can become a binding term.
- Use clear written terms (scope, price, timescales), and remember consumer rights cannot be signed away.
- For distance/online consumer sales, also give the required pre-contract information and honour the 14-day cancellation right.
Key takeaways
- Services must be performed with reasonable care and skill, in a reasonable time, for a reasonable price, under the SGSA 1982 (B2B) and CRA 2015 (consumers).
- Under the CRA, information you give that a consumer relies on becomes binding.
- Consumer remedies are repeat performance then price reduction/refund; business remedies are damages.
- You cannot exclude death/PI from negligence or consumers' core rights; B2B exclusions must be reasonable (UCTA 1977).
Sources
- Supply of Goods and Services Act 1982, ss 13–15 (reasonable care and skill, time and price for B2B services)
- Consumer Rights Act 2015 (services: ss 49, 51, 52; binding information; remedies; goods quality; unfair terms)
- Unfair Contract Terms Act 1977 (reasonableness of B2B exclusions)
--- This article is general information about the law of England & Wales as at 2026, not legal advice. For advice on your circumstances, consult a qualified solicitor.