What is the difference between PPM and reactive electrical maintenance?

Planned preventative maintenance (PPM) involves scheduled visits to inspect, test, and service electrical systems before faults develop. It reduces the risk of unexpected failures, extends equipment life, and maintains legal compliance. Reactive maintenance addresses faults as they occur — responding to reported issues, circuit failures, equipment breakdowns, and emergencies. Most commercial electrical maintenance contracts combine a PPM element (regular scheduled visits and testing) with a reactive element (emergency callout provision). PPM-only contracts without any reactive provision leave the client exposed during unexpected failures.

How often should a commercial EICR be carried out?

The frequency of EICRs for commercial premises depends on the type of installation and occupancy. As a general guide: offices and retail — every five years; industrial premises — every three years; educational premises — every five years; places of public entertainment — every three years; residential accommodation managed by a landlord — every five years (legally required for rented residential property). BS 7671 does not prescribe fixed frequencies but recommends frequencies based on installation type in its inspection and testing sections. The previous EICR and its findings should inform the recommended interval for the next inspection.

Is PAT testing a legal requirement for commercial premises?

Portable Appliance Testing (PAT) is not mandated by a specific law requiring testing at defined intervals. The legal requirement comes from the Health and Safety at Work Act 1974 and the Electricity at Work Regulations 1989, which require employers to maintain electrical equipment in a safe condition. PAT testing is one way of demonstrating that this duty is being met, but it is not the only way. The frequency of PAT testing depends on the type of equipment, the environment in which it is used, and the results of previous tests. High-risk environments (construction sites, catering kitchens) require more frequent testing than low-risk office environments.

What emergency lighting tests are required by BS 5266?

BS 5266-1 (the UK code of practice for emergency lighting) specifies a hierarchy of tests. Monthly: a brief functional test of each emergency luminaire and exit sign — press and hold the test key for the duration specified by the manufacturer (typically 30 seconds to 1 minute) and confirm all luminaires illuminate. Six-monthly: a one-hour discharge test to verify that luminaires maintain output for one hour on battery. Annual: a three-hour full rated duration test (or the full rated duration specified for the luminaire) to verify the battery can sustain the luminaire for its full rated duration. All test results must be recorded in a log book and kept for inspection.

What fire alarm tests are required by BS 5839?

BS 5839-1 (the UK standard for fire detection and alarm systems in buildings) specifies: weekly — a test of each manual call point in rotation (not all at once) to verify the alarm signal is generated; monthly — a full test of the system including all detectors tested in rotation, battery check, and panel inspection; six-monthly — a formal inspection by a competent person covering all detectors, call points, sounders, control panel, and standby power supply; annual — a comprehensive inspection and test by a specialist firm, including detector sensitivity testing. Records of all tests must be maintained.

What should be included in an electrical maintenance contract?

A comprehensive electrical maintenance contract should include: scope of works (which systems are covered and which are excluded), scheduled visit frequency and what is done on each visit, documentation requirements (test results, certificates, defect reports), reactive callout provision (response times, hourly rates for callouts, emergency rates), materials provision (who supplies materials and at what cost), price adjustment mechanism (annual RPI increase, etc.), termination provisions, and liability limitations. Contracts should also specify which BS/IEC standards the work will be conducted to, including BS 7671 for fixed electrical installations, BS 5266 for emergency lighting, and BS 5839 for fire alarm systems.

Can one electrical contractor manage all compliance testing for a commercial building?

Yes — a competent electrical contractor registered with NICEIC or NAPIT can carry out fixed wire testing (EICR), portable appliance testing (PAT), and emergency lighting testing under a single contract. Fire alarm testing requires a specialist fire alarm company registered with the National Security Inspectorate (NSI) or BAFE for Category I systems. For smaller fire alarm systems (Category M, manual only), a competent electrical contractor may carry out testing, but for automatic detection systems (Category L or P), a specialist is strongly recommended. Combining all compliance testing under one contractor simplifies administration and provides a single point of contact for the client.

How much does an electrical maintenance contract cost per year?

Annual maintenance contract costs vary significantly depending on the property size, the systems covered, and the frequency of visits. Indicative 2026 pricing: small office or retail unit (up to 500m²) — £500 to £1,500/year; medium commercial building (500m² to 2,000m²) — £1,500 to £3,500/year; large commercial premises (2,000m²+) with emergency lighting, fire alarm, and complex distribution — £3,500 to £5,000+ per year. These figures typically cover the PPM element — reactive callouts are usually charged additionally at the agreed callout rate.

COMMERCIAL GUIDE

Electrical Maintenance Contracts: PPM, Testing Schedules and 2026 Pricing Guide

A well-structured electrical maintenance contract protects your commercial client and ensures legal compliance across their electrical installation, emergency lighting, and fire alarm systems. This guide covers the difference between planned preventative maintenance (PPM) and reactive maintenance, what testing is required and how often (EICR, PAT, BS 5266, BS 5839), what to include in a contract, and 2026 pricing from £500 to £5,000 per year.

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14 min readUpdated 2026-05-18Andrew Moore, Founder of Elec-Mate

Written and reviewed by Andrew Moore, founder of Elec-Mate, against BS 7671:2018+A4:2026, IET Guidance Note 3 and the IET On-Site Guide.

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Key Takeaways

1Electrical maintenance contracts for commercial properties fall into two categories: planned preventative maintenance (PPM), which follows a schedule to prevent failures, and reactive maintenance, which responds to faults as they occur. Most contracts combine both.
2A comprehensive PPM schedule for a commercial property includes fixed wire testing (EICR), portable appliance testing (PAT), emergency lighting tests (monthly, 6-monthly, and annual as required by BS 5266), and fire alarm tests (weekly call point test, monthly functional test, 6-monthly and annual tests as required by BS 5839).
3EICRs for commercial premises should be conducted every five years for most occupancies, though some higher-risk environments require more frequent inspection. BS 7671 recommends the frequency based on installation type and usage.
4Annual maintenance contract pricing for commercial properties typically ranges from £500 to £1,500 per year for small offices and retail units, £1,500 to £3,500 for medium commercial buildings, and £3,500 to £5,000+ for larger premises with complex electrical systems, emergency lighting, and fire alarm infrastructure.
5A well-written electrical maintenance contract protects both the contractor and the client. It should define the scope of work, frequency of visits, response times for reactive callouts, documentation and certification requirements, price adjustment mechanisms, and termination terms.

01 · Commercial Guide

Planned Preventative Maintenance vs Reactive Maintenance

Electrical maintenance for commercial properties falls into two categories: planned preventative maintenance (PPM) and reactive maintenance. Understanding the difference is essential for designing a maintenance contract that meets the client's operational needs and legal obligations.

Planned preventative maintenance (PPM) — scheduled visits at fixed intervals to inspect, test, and service electrical systems before faults develop. Includes fixed wire testing (EICR), portable appliance testing (PAT), emergency lighting tests, fire alarm tests, and general inspection of switchgear, distribution boards, and earthing. PPM reduces unplanned downtime and maintains legal compliance.
Reactive maintenance — responding to reported faults, circuit failures, equipment failures, and electrical emergencies. Reactive works cannot always be predicted or prevented by PPM alone. A maintenance contract should define the response times for different levels of urgency: emergency (e.g., loss of power to critical systems — 2-hour response), urgent (e.g., circuit failure — next working day), and routine (e.g., a faulty socket — within 5 working days).
Combined contracts — most commercial clients benefit from a contract that includes both PPM and reactive provision. PPM is typically priced as a fixed annual fee; reactive callouts are charged at an agreed labour rate (typically the contractor's standard or discounted rate for contract clients) plus materials.

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02 · Commercial Guide

PPM Schedule: What Needs Testing and When

A comprehensive PPM schedule for a typical commercial property includes multiple types of inspection and testing, each with its own frequency. The following schedule reflects best practice for a medium-sized commercial building.

Weekly — fire alarm call point test (rotate through call points one per week); visual check of emergency exit signs and luminaires. These are typically carried out by the building's own staff, not the maintenance contractor.
Monthly — emergency lighting functional test (brief duration, all luminaires); fire alarm monthly test and inspection; visual inspection of distribution boards (door seals, cable entry, labelling, no evidence of overheating).
Six-monthly — emergency lighting one-hour discharge test; fire alarm six-monthly inspection (all detectors tested in rotation, panel inspection, battery check); portable appliance testing for high-risk equipment (construction, catering, portable power tools).
Annually — emergency lighting full rated duration test (three hours for most systems under BS 5266); fire alarm annual inspection and test; portable appliance testing for standard office equipment; general electrical installation inspection; RCD testing.
Every 3–5 years — full EICR (fixed wire test) of the electrical installation. Frequency depends on occupancy type and previous EICR findings.

03 · Commercial Guide

Fixed Wire Testing (EICR) for Commercial Properties

The Electrical Installation Condition Report (EICR) is the formal document recording the findings of a periodic inspection and test of the fixed electrical installation. It is the cornerstone of any commercial electrical maintenance programme.

What is included in a commercial EICR — inspection of the main earthing and bonding, consumer units and distribution boards, wiring systems (condition, containment, fixings), electrical accessories and fittings, switchgear and controls, and testing of earth fault loop impedance, insulation resistance, RCD operation, polarity, and continuity. A schedule of test results is completed for every circuit.
Recommended frequency — offices: every five years; industrial: every three years; educational: every five years; catering: every one to three years; licensed premises: every five years; medical locations: every one to five years depending on location type. Higher-risk or older installations should be inspected more frequently.
Outcome: Satisfactory or Unsatisfactory — an EICR is classified as Satisfactory or Unsatisfactory. C1 (immediate danger) and C2 (potentially dangerous) observations result in an Unsatisfactory report. C3 (improvement recommended) observations result in a Satisfactory report but indicate remedial works that should be considered. Use the Elec-Mate EICR app to complete and issue commercial EICRs on site.

04 · Commercial Guide

Portable Appliance Testing (PAT) in Commercial Properties

PAT testing verifies that portable electrical appliances are safe for use. It is a key component of any commercial electrical maintenance programme and is required to demonstrate compliance with the Electricity at Work Regulations 1989.

What PAT testing involves — visual inspection of the appliance, plug, and cable; earth continuity test (class I appliances); insulation resistance test; and sometimes a substitute leakage test. Results are recorded on labels applied to the appliance and in a test register.
Test frequency by environment — construction sites and catering: every 3 months; industrial: annually; offices (portable appliances): every 2 to 4 years; offices (IT equipment, low use): every 4 years or less. The IET Code of Practice for In-Service Inspection and Testing of Electrical Equipment provides recommended intervals for each equipment type and environment.
Documentation — a PAT test register recording each appliance, its test results, the date of test, and the retest date. Failed appliances must be removed from service immediately and either repaired and retested or destroyed. The register must be maintained and available for inspection.

05 · Commercial Guide

Emergency Lighting Tests Under BS 5266

Emergency lighting is a life-safety system. Its maintenance is governed by BS 5266-1, which specifies a clear hierarchy of tests that must be carried out and recorded. These tests are a standard component of any commercial electrical maintenance contract.

Monthly functional test — simulate failure of the normal supply and verify each emergency luminaire and exit sign illuminates. Duration is the brief period recommended by the manufacturer (typically 30 seconds to 1 minute). Record which luminaires were tested and any failures. Restore normal supply and check luminaires recharge.
Six-monthly one-hour discharge test — simulate failure of normal supply and maintain discharge for one hour. Verify all luminaires maintain output throughout. Record results. Allow full battery recharge before restoring normal operation.
Annual full rated duration test — simulate failure and maintain for the full rated duration of the luminaires (typically three hours for maintained systems). All luminaires must maintain required light output throughout. Any failing luminaires must be replaced before the installation is returned to service.
Log book requirement — BS 5266-1 requires a log book recording all tests, any luminaire failures, remedial works, and the date of each test. The log book must be kept on site and presented to the responsible person (building owner or manager) and inspectors on request.

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06 · Commercial Guide

Fire Alarm Tests Under BS 5839

Fire alarm system testing is governed by BS 5839-1 (fire detection and fire alarm systems in buildings). Electrical contractors who include fire alarm testing in their maintenance contracts must understand the requirements of this standard.

Weekly call point test — test one manual call point per week, rotating through all call points over the cycle. The alarm signal must be generated at the control panel. This is typically carried out by building staff and recorded in the fire alarm log book.
Monthly inspection — a more thorough check of the control panel, battery levels, and system indicators. Testing of remaining call points not tested in weekly rotation.
Six-monthly inspection — inspection and test by a competent person: all detectors tested, all call points tested, sounders checked, panel inspection, standby battery test, and check of all linked systems (door holders, ventilation shutdown, etc.). Record all findings.
Annual inspection — comprehensive inspection by a specialist. For Category L (automatic detection) systems, this should be carried out by a firm registered with NSI or BAFE. Includes detector sensitivity testing, full system function test, and a detailed inspection report.

07 · Commercial Guide

What to Include in an Electrical Maintenance Contract

A well-drafted maintenance contract protects both the contractor and the client. It defines expectations, prevents disputes, and ensures legal compliance is maintained throughout the contract term.

Scope of works — a precise description of which systems, areas, and equipment are covered. Explicitly state any exclusions (e.g., specialist equipment, tenant areas, roof plant). Ambiguity in scope is the most common source of contract disputes.
Visit schedule — dates or frequency of scheduled PPM visits, what is carried out on each visit, and who the contractor will liaise with on site. Include provisions for rescheduling and notice periods for access.
Documentation requirements — what reports, certificates, and records will be provided after each visit. Specify formats (PDF, original paper certificates), timescales for delivery (e.g., within 5 working days), and who retains originals.
Reactive callout provision — response time tiers (emergency, urgent, routine), hours of cover (standard hours only, or 24/7), hourly rate for reactive callouts, call-out charge, and materials charging mechanism.
Price and payment terms — annual PPM fee, payment schedule (monthly, quarterly, or annual in advance), price review mechanism (e.g., annual RPI increase capped at 5%), and invoicing terms for reactive works.
Termination provisions — notice period (typically 3 months), termination for cause, and what happens to outstanding scheduled visits or active reactive works at termination.

08 · Commercial Guide

Electrical Maintenance Contract Pricing (£500–£5,000+ per Year)

Pricing an electrical maintenance contract requires understanding both the direct costs of the work and the overhead and margin required for the contract to be commercially viable. The following ranges are indicative for 2026.

Small office or retail unit (up to 500m²) — £500 to £1,500 per year. Annual EICR (every 5 years, amortised), annual PAT, monthly emergency lighting test, and quarterly fire alarm test. Reactive callout rate typically £65 to £85/hr.
Medium commercial building (500m² to 2,000m²) — £1,500 to £3,500 per year. Multiple distribution boards, larger emergency lighting installation, fire alarm system, more extensive PAT requirements, and more frequent EICR cycle.
Large commercial premises (2,000m²+) — £3,500 to £5,000+ per year. Complex HV/LV distribution, generator systems, UPS, large emergency lighting and fire alarm installations, and more frequent inspection requirements. Some large premises justify higher annual costs.
Reactive callout charges — typically charged separately. Contract clients often receive a discounted rate (10 to 20 per cent below standard) as an incentive for the contract. Emergency callouts outside standard hours are charged at the agreed out-of-hours rate.

09 · Commercial Guide

For Electricians: Managing Maintenance Contracts Efficiently

Maintenance contracts are a reliable source of recurring revenue for electrical businesses. Managing them efficiently — with good documentation, scheduled reminders, and professional certificates — protects both the business and the client.

Certify Every Maintenance Visit

Every maintenance visit should produce a certificate or inspection report. EICRs, minor works certificates, and PAT test registers are all evidence of compliance. Use the Elec-Mate EICR app to complete and issue certificates on the day of the visit. Never leave a site without documentation.

Invoice Contracts and Reactive Works Clearly

Maintenance contracts often involve separate invoices for the annual fee and for reactive callout works. Use the Elec-Mate quoting and invoicing app to issue professional invoices for both elements, with clear itemisation that satisfies commercial clients' accounts payable requirements.

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Electrical Maintenance Contracts: PPM, Testing Schedules and 2026 Pricing Guide

Key Takeaways

Planned Preventative Maintenance vs Reactive Maintenance

Get the BS 7671 A4:2026 Cheat Sheet — free

PPM Schedule: What Needs Testing and When

Fixed Wire Testing (EICR) for Commercial Properties

Portable Appliance Testing (PAT) in Commercial Properties

Emergency Lighting Tests Under BS 5266

Record emergency lighting tests with Elec-Mate

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Fire Alarm Tests Under BS 5839

What to Include in an Electrical Maintenance Contract

Electrical Maintenance Contract Pricing (£500–£5,000+ per Year)

For Electricians: Managing Maintenance Contracts Efficiently

Certify Every Maintenance Visit

Invoice Contracts and Reactive Works Clearly

Manage maintenance contracts with Elec-Mate

Frequently Asked Questions About Electrical Maintenance Contracts

What is the difference between PPM and reactive electrical maintenance?

How often should a commercial EICR be carried out?

Is PAT testing a legal requirement for commercial premises?

What emergency lighting tests are required by BS 5266?

What fire alarm tests are required by BS 5839?

What should be included in an electrical maintenance contract?

Can one electrical contractor manage all compliance testing for a commercial building?

How much does an electrical maintenance contract cost per year?

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