RICS Draft Update to the Global Red Book

Red Book Global Update 2022 - Proposed Changes

VPS 1-5 exceptions 

5.5 The circumstances in which valuers are instructed to provide valuation reports and advice vary widely and may, in some cases, take several years to reach a conclusion. During this time, the instruction may be significantly amended - resulting in an instruction that began as an 'exception' ceasing to be so. Valuers should always focus on the actual task in hand at a specific point in the valuation process. If a valuer's role changes during this process, it is imperative that their actions are transparent, the application of Red Book Global at any given point in time is fully documented and the client is made aware of any change to the valuer's role or undertaking. 

5.6 Even though the content of VPS 1 may not be mandatory in 'exception' cases, it cannot be too strongly emphasised that terms of engagement are still required and that they must be clear, unambiguous and appropriately documented (PS 2 section 7 paragraphs 7.3 and 7.4). This is as much in the interests of the valuer as of the client, as it ensures that there is no ambiguity about what is being requested and what is being supplied. 

5.7Terms such as 'quasi-Red Book' or 'partial Red Book' - or even 'non-Red Book' - must not be used in terms of engagement or reporting. Any appropriate exceptions to VPS 1-5 should be explicitly stated and explained in the terms of engagement and valuation report.