Understanding the RICS Code of Measuring Practice 7th edition

Tom Pugh

Director, Head of Measured Surveys and Area Referencing

Tom Pugh

Tom Pugh, head of measured surveys and area referencing at Hollis, is lead technical author for the RICS Code of Measuring Practice. Ahead of the consultation on the 7th edition, he answers some key questions.     

Why is the 7th edition of the RICS Code of Measuring Practice being updated now?

The simple answer is that it has been a long time coming. The 6th edition was released in 2007, and the market has changed significantly since then.

There has also been a prolonged period of uncertainty caused by the introduction of International Property Measurement Standards (IPMS) and the RICS Property Measurement Standards; people were unsure which standards they should be following and how they aligned with existing RICS guidance.

The 7th edition is about bringing clarity back into the market and giving people confidence in what they are reporting.

What are the main changes in the 7th edition of the RICS Code of Measuring Practice likely to include?

This is not about wholesale change. While the move from the 5th to 6th edition followed a specific court ruling, on this occasion it hasn’t been triggered by a major event; it’s much more focused on consistency and clarity.

One of the biggest issues we see is that everyone measures and reports in slightly different ways. Over time, that creates real problems – particularly when information is reviewed years later and no one is quite sure what was done, when, or on what basis.

The aim is to standardise reporting so that, years down the line, there is no ambiguity.

Why does measurement still tend to be undervalued in property decision-making?

I think a lot of people assume measurement is straightforward. Everyone measures things in everyday life, so there is a perception that is simple.

In reality, the commercial consequences of getting it wrong can be significant. Measurement underpins value, rent, service charge, insurance, rating and – increasingly – ESG and Net Zero Carbon reporting.

When people realise how many decisions rely on accurate area data, they start to understand why it matters.

What are the commercial risks of inaccurate or inconsistent measurement?

The impacts are wide-ranging. Financially, errors can affect rental income, service charge apportionment and insurance valuations.

Measurement errors also take time to resolve and can delay transactions, which adds another layer of cost and risk.

Where do misunderstandings concerning building measurement most commonly arise?

A lot of misunderstandings come down to terminology used. People use terms like “gross leasable area” without defining what they actually mean. That term is not a defined measurement standard and can be interpreted in different ways, especially when used across different jurisdictions.

We see schedules of areas that do not state whether they are gross external, gross internal or net internal area, which inevitably leads to confusion.

Clear definitions and consistent reporting would prevent many of these issues from arising in the first place.

Will the new RICS Code of Measuring Practice be mandatory?

Although the Code is not a mandatory document, the code has been used as industry best practice for many years and provides guidance to ensure there is consistency in property measurement reporting.

However, it’s important to note that within the document there are sections where the language is very deliberate. Where the word “must” is used in the Code, that indicates a mandatory requirement.

This distinction is important and is something people need to be aware of when applying the guidance in practice.

How does the RICS Code of Measuring Practice interact with wider regulatory and ESG requirements?

Accurate measurement feeds directly into things like EPCs, net zero carbon reporting and wider ESG disclosures.

Floor areas are fundamental inputs into those calculations. If the underlying data is wrong or inconsistent, it undermines the credibility of the reporting.

As scrutiny around sustainability data increases, the importance of getting the building measurements correct from the outset will only grow.

What do you hope the industry engages with during the RICS Code of Measuring Practice consultation?

The consultation is an opportunity for the industry to feedback and make sure the guidance is still relevant.

We are not trying to radically change how buildings are measured, but we want to get feedback from the profession to ensure that we are covering everything they feel is important.

Often, consultations receive very little engagement, but this is a document that affects the entire property sector. If people have views or concerns, they should contribute.

Do you expect greater scrutiny of floor area reporting once the 7th edition of the RICS Code of Measuring Practice is in place?

I do not think scrutiny itself will suddenly increase, but expectations will continue to rise.

Measurement has become more important over time – not just for prime offices but for industrial assets, suburban offices and large-scale residential schemes.

As values increase across these sectors, the tolerance for uncertainty reduces. The 7thedition helps provide a framework that supports that shift.

What should agents, architects, building owners and asset management professionals do while the RICS Code of Measuring Practice is being updated?

While the updated code is going through consultation, the most important thing professionals can do is focus on clarity.

Check what measurement information you are relying on, when it was last produced, and what standard it was prepared to – and be explicit. That alone removes a lot of risk.

Finally, engage with the consultation when it opens. This code affects the whole industry, and it is an opportunity to make sure the guidance reflects how buildings are actually designed, used and managed today.

Even if the conclusion is that the current approach works, feeding that back is just as important as highlighting gaps.