Plant, tools, and equipment allowances.
Plant and equipment costs can make up 5–15% of a construction project. Whether you hire, lease, or own, the cost must be recovered through the estimate.
Who this guide is for
Estimators pricing plant requirements, site managers planning equipment needs, and contractors deciding between hire and purchase.
Types of plant costs
Hired plant: Daily, weekly, or monthly hire rate plus delivery, collection, fuel, and insurance. Includes excavators, dumpers, telehandlers, and site accommodation.
Small tools: Consumable tools and equipment. Often allowed as a percentage of labour cost (typically 2–5%).
Owned plant: Depreciation, maintenance, repairs, insurance, and finance costs spread over the expected utilisation.
Miniature example
A 12-week extension project: 3-ton excavator hire £250/week × 2 weeks = £500, dumper £120/week × 4 weeks = £480, small tools allowance 3% of £12,000 labour = £360. Total plant and tools: £1,340.
Common mistakes
- Quoting plant hire for the full project duration when it is only needed for part of the programme
- Forgetting delivery and collection charges for hired plant
- Not including small tools in the estimate — tools are not free
Related guides and tools
Learn about preliminaries and site overheads and labour productivity. Use the Construction Estimator to track plant costs.