On July 8, 2025, His Highness Sheikh Mohammed bin Rashid Al Maktoum issued a piece of legislation that will fundamentally change how contractors operate in Dubai. Law No. 7 of 2025 Regulating Contracting Activities in the Emirate of Dubai introduces unified Dubai Law 7 of 2025 safety requirements that every contractor, subcontractor, and project owner must understand before the January 8, 2026 effective date.
I have spent the past several months reviewing this legislation with construction clients across Dubai, Abu Dhabi, and Sharjah. The questions are consistent: What exactly does this law require? How will it affect my current projects? What happens if I do not comply? This guide answers those questions with the practical detail you need to prepare your operations for compliance.
The stakes are significant. Contractors who fail to meet Dubai Law 7 of 2025 safety requirements face fines up to AED 200,000, license suspension for up to one year, removal from the official contractor registry, and potential prohibition from operating in Dubai. Project owners who engage non-compliant contractors face their own penalties and project disruptions. For contractors operating across the UAE, understanding how this Dubai-specific legislation affects emirate-wide operations is essential.
Here is what you need to know to navigate this new regulatory landscape successfully.
What Dubai Law 7 of 2025 Actually Covers
Before examining specific safety requirements, you need to understand the scope of this legislation. Dubai Law 7 of 2025 applies to all contracting activities within the Emirate of Dubai, including operations in free zones and special development zones such as the Dubai International Financial Centre.
Activities Covered Under the Law
The law covers a broad range of construction-related activities including civil, architectural, electrical, mechanical, industrial, building, and construction work. Infrastructure activities are also included, covering roads, bridges, tunnels, railways, irrigation systems, drainage and sewage systems, electricity grids, water supply networks, and district cooling infrastructure.
Engineering and demolition activities fall under the law’s scope as well. If your company performs any of these activities in Dubai, the Dubai Law 7 of 2025 safety requirements apply to your operations.
Exemptions from the Law
The legislation specifically exempts airport-related contracting activities and their associated infrastructure. The Executive Council may grant additional exemptions on recommendation from the Committee for Regulating and Developing Construction Activities. Unless you have received explicit exemption, assume the law applies to your operations.
Key Dates and Compliance Timeline
Understanding the timeline is critical for planning your compliance strategy.
Critical Compliance Dates
| Date | Event | Implication |
|---|---|---|
| July 8, 2025 | Law issued and published | Official Gazette No. 726/59 |
| January 8, 2026 | Law becomes effective | Registration system operational |
| January 8, 2027 | Grace period ends | Full compliance mandatory |
Existing contractors have one year from the effective date to comply with new registration and classification requirements. However, this grace period should not encourage complacency. Contractors who begin the registration process early will face fewer bottlenecks and have time to address any issues that arise during the application process.
The New Regulatory Structure
Dubai Law 7 of 2025 establishes a new supervisory hierarchy that centralizes oversight of contracting activities across the emirate.
Dubai Municipality as Primary Authority
Dubai Municipality serves as the ultimate authority for regulating contracting activities. The Municipality will manage the unified Contractor Register, issue Professional Competency Certificates for technical personnel, develop and maintain the industry Code of Conduct and Ethics, and conduct inspections of contractor premises and project sites.
Committee for Regulating and Developing Construction Activities
The law establishes a new Committee chaired by a representative from Dubai Municipality with members from relevant government entities. This Committee will approve contracting activities and classify contractors, assign supervisory bodies for specific sectors, resolve jurisdictional issues between authorities, coordinate with public and private sector stakeholders, adopt the formal Code of Ethics for the sector, and review recommendations from other authorities.
Integration with Invest in Dubai Platform
All registration, classification, and certification processes will be managed through a centralized electronic platform linked to the Invest in Dubai digital portal. This integration aims to streamline approvals, allow performance tracking, and simplify due diligence for project owners evaluating potential contractors.
Core Safety Requirements Under the Law
The Dubai Law 7 of 2025 safety requirements build upon and reinforce existing safety frameworks while introducing new compliance obligations.
Compliance with Code of Construction Safety Practice
Contractors must comply with the Dubai Municipality Code of Construction Safety Practice, with the 2024 edition currently in effect. This code remains the primary source of health and safety obligations for contractors operating in Dubai. A new edition is expected, and contractors must comply with any updated versions upon publication.
The Code of Construction Safety Practice establishes requirements across multiple operational areas including site safety management and hazard controls, worker protection and personal protective equipment, fall protection for work at heights exceeding 1.8 meters, scaffolding safety per British Standards BS 1139 or European Norm EN 12811, fire safety and emergency preparedness, environmental protection during construction, and safe handling of hazardous materials.
Public Health and Occupational Safety Compliance
Beyond the Code of Construction Safety Practice, Dubai Law 7 of 2025 safety requirements mandate compliance with all applicable public health, safety, and occupational safety legislation. This includes UAE Federal Decree Law No. 33 of 2021 on labor relations and MOHRE workplace safety regulations that apply across the UAE.
Contractors must maintain safe working conditions per UAE labor law standards, provide appropriate personal protective equipment at no cost to workers, implement heat stress management programs per MOHRE requirements, ensure proper training for all workers, and document safety compliance throughout project execution.
Site Inspection and Enforcement Powers
The law empowers Dubai Municipality and designated law enforcement officers with judicial inspection powers. Inspectors can enter contractor premises and project sites without prior notice, review and seize records related to contracting activities, verify compliance with registration and classification requirements, assess adherence to safety standards and practices, and issue citations and enforce penalties for violations.
Contractors must ensure that sites are available for inspection at all times and that documentation is properly maintained and accessible.
For assistance preparing your sites and documentation for compliance with Dubai Law 7 of 2025 safety requirements, AAA Safe Dubai provides compliance assessment services for contractors across Dubai, Abu Dhabi, Sharjah, and throughout the UAE.
Registration and Classification Requirements
One of the most significant changes under Dubai Law 7 of 2025 is the unified registration and classification system.
Mandatory Registration in Contractor Register
No company may operate or present itself as a contractor unless it holds a valid license and is listed in the unified Contractor Register managed by Dubai Municipality. Unregistered contractors are prohibited from conducting any contracting activities in Dubai.
Registration requires submitting documentation through the electronic platform linked to Invest in Dubai. The specific documentation requirements will be detailed in implementing regulations, but contractors operating in the UAE should prepare company registration documents and commercial licenses, evidence of technical capabilities and experience, financial statements demonstrating adequate capitalization, proof of professional liability insurance, and details of technical personnel and their qualifications.
Classification System Based on Capabilities
| Factor | Assessment Criteria | Impact |
|---|---|---|
| Technical Capability | Experience, completed projects, specialized expertise | Project types permitted |
| Financial Capacity | Capitalization, credit, bonding capacity | Project value limits |
| Administrative Capability | Management systems, compliance history, staffing | Operational scope |
Professional Competency Certificates
Technical personnel engaged in building, construction, and demolition activities must obtain Professional Competency Certificates issued by Dubai Municipality or the relevant Competent Authority. Contractors cannot employ or deploy uncertified technical personnel on projects covered by the law.
This certification requirement ensures that only qualified professionals participate in construction activities. Contractors should audit their current technical staff and identify any individuals requiring certification before the compliance deadline.
Subcontracting and Joint Venture Requirements
Dubai Law 7 of 2025 introduces significant restrictions on subcontracting that contractors must understand and incorporate into their project planning.
Prior Approval Required for Subcontracting
Under the previous framework, subcontracting was permitted provided it did not conflict with the main contract and the subcontractor was appropriately licensed. The new law requires prior approval from Dubai Municipality before subcontracting any work.
This approval requirement applies throughout the supply chain. Main contractors cannot engage subcontractors, and subcontractors cannot further subcontract, without obtaining the required approvals. The specific approval process has not been fully detailed, but contractors should expect to submit subcontracting requests with documentation of the subcontractor’s registration, classification, and qualifications.
Main Contractor Accountability
Even with approved subcontracting arrangements, the main contractor retains overall responsibility for the works. This includes responsibility for ensuring subcontractors comply with Dubai Law 7 of 2025 safety requirements, monitoring subcontractor performance and safety practices, maintaining accountability for project outcomes and quality, and ensuring all subcontractors maintain valid registration and classification.
Joint Ventures and Consortiums
The law permits contractor alliances and consortiums for large-scale or complex projects. However, these arrangements require prior approval from both the client and Dubai Municipality, all consortium members must be properly registered and classified, one party must be designated as the lead contractor, and specific conditions for consortium registration must be met.
Contractors planning joint venture arrangements for upcoming projects should factor the approval process into their timeline.
Document Retention and Record Keeping
Dubai Law 7 of 2025 establishes significant document retention requirements that contractors must implement.
Ten-Year Retention Requirement
| Document Type | Retention Period | Accessibility Requirement |
|---|---|---|
| Contracting agreements | 10 years from completion | Available upon request |
| Project plans and drawings | 10 years from completion | Available upon request |
| Safety inspection records | 10 years from completion | Available upon request |
| Training documentation | 10 years from completion | Available upon request |
| Subcontractor agreements | 10 years from completion | Available upon request |
| Incident and accident reports | 10 years from completion | Available upon request |
Implications for Current Practice
Many contractors currently maintain records for shorter periods. The ten-year requirement will necessitate reviewing and updating document retention policies, implementing secure storage systems for long-term record keeping, ensuring records remain accessible and readable over extended periods, and developing procedures for responding to Municipality document requests.
Penalties for Non-Compliance
The enforcement provisions of Dubai Law 7 of 2025 represent a significant increase in potential penalties for contractors who fail to comply with the law’s requirements.
Financial Penalties
The law introduces a graduated fine structure for violations.
Penalty Structure Under Dubai Law 7 of 2025
| Violation Type | Initial Fine | Repeat Violation (within 1 year) |
|---|---|---|
| Minor breaches | AED 1,000–10,000 | Up to AED 20,000 |
| Moderate violations | AED 10,000–50,000 | Up to AED 100,000 |
| Serious violations | AED 50,000–100,000 | Up to AED 200,000 |
The specific fine amount is determined by the Chairman of the Executive Council on recommendation from the Committee based on the nature and severity of the violation.
Administrative Sanctions
Beyond financial penalties, the law authorizes several administrative sanctions that can significantly impact a contractor’s ability to operate.
- Suspension of Contracting Activities: Contractors may be prohibited from conducting any contracting activities for up to one year. This suspension applies across all projects, potentially causing significant disruption to ongoing work.
- Downgrading of Classification: Contractors may have their classification reduced, limiting the types and values of projects they can undertake. This impacts bidding eligibility and business development.
- Removal from Registry: The most severe administrative sanction removes the contractor from the official registry, effectively prohibiting them from operating in Dubai. Reinstatement would require completing the full registration process anew.
- Revocation of Competency Certificates: Technical personnel may have their Professional Competency Certificates revoked for violations, preventing them from working on projects covered by the law.
- Commercial License Cancellation: In severe cases, the contractor’s commercial license may be cancelled entirely.
Employer Liability
Project owners and developers face their own compliance obligations. Employers are prohibited from engaging contractors who are not registered and classified in accordance with the law. If employers fail to verify that their contractors meet requirements, they risk project delays from contractor disqualification, legal disputes over contract validity, potential liability for engaging non-compliant contractors, investigation by officials with judicial inspection powers, and penalties for knowingly or negligently engaging unregistered contractors.
Compliance Checklist for Contractors
Preparing for Dubai Law 7 of 2025 safety requirements requires systematic action across multiple areas.
Immediate Actions (Before January 8, 2026)
Conduct an internal audit of current regulatory compliance status. Review all existing licenses, certifications, and registrations. Identify gaps between current status and new requirements. Assess the qualifications and certification status of all technical personnel.
Begin the registration process with Dubai Municipality as soon as the electronic platform becomes available. Early registration reduces the risk of bottlenecks as the compliance deadline approaches.
Review and update document retention policies to meet the ten-year requirement. Implement systems for long-term secure storage of required documents.
During Grace Period (January 8, 2026 to January 8, 2027)
Complete registration and obtain classification from the Committee. Ensure all technical personnel obtain required Professional Competency Certificates. Formalize all subcontracting arrangements to meet approval requirements. Update internal compliance mechanisms to track ongoing requirements.
Review insurance and risk allocations in light of new requirements. Update standard contract terms to address registration and classification verification requirements.
Ongoing Compliance Requirements
Maintain registration and operate within approved classification limits. Monitor subcontractor compliance with registration and safety requirements. Keep safety documentation current and accessible for inspection. Track performance metrics that affect classification status. Stay informed of implementing regulations and Code updates.
Does your organization need assistance developing a compliance roadmap for Dubai Law 7 of 2025 safety requirements? AAA Safe Dubai provides consultation services for contractors throughout Dubai, Abu Dhabi, Sharjah, and other UAE emirates to ensure your operations meet all applicable requirements.
Impact on Different Contractor Types
The law affects different types of contractors in distinct ways.
Large Contractors and Tier 1 Operators
Large contractors with established operations may find the registration and classification process relatively straightforward given existing documentation and track records. However, the subcontracting approval requirements will impact supply chain management significantly. Large contractors must verify that all subcontractors meet registration requirements and factor approval timelines into project planning.
Small and Medium Contractors
Smaller contractors may face greater challenges meeting classification requirements, particularly financial capacity thresholds. Some may need to consolidate, merge, or form alliances to meet requirements. The short-term compliance costs may be significant, but the resulting standardization should benefit legitimate operators by reducing competition from under-capitalized or informal contractors.
Subcontractors
Subcontractors must register and obtain classification just as main contractors do. They cannot accept work without registration, and main contractors cannot engage them without Municipality approval. Subcontractors should proactively complete registration to remain eligible for work.
Free Zone Contractors
Contractors operating in free zones including DIFC are fully subject to the law. The unified framework eliminates previous regulatory gaps between mainland and free zone requirements. Free zone contractors must register in the unified system regardless of their existing free zone licenses.
Relationship with Existing Safety Frameworks
Dubai Law 7 of 2025 does not replace all existing safety requirements. Rather, it creates an overarching regulatory framework that incorporates and reinforces existing UAE safety obligations.
Code of Construction Safety Practice Remains Primary
The Dubai Municipality Code of Construction Safety Practice remains the main source of detailed safety requirements. Contractors must continue complying with this code while also meeting the broader registration and compliance requirements of Law No. 7. The UAE construction industry relies on this code for operational safety standards.
MOHRE Requirements Continue
UAE Federal labor law requirements enforced by the Ministry of Human Resources and Emiratisation continue to apply throughout the UAE. Heat stress management, working hours restrictions, accommodation standards, and other MOHRE requirements remain in effect alongside Dubai Law 7 requirements. Contractors operating across multiple UAE emirates must maintain compliance with both federal and emirate-specific requirements.
Building Code Compliance
The Dubai Building Code requirements for construction quality, fire safety, and structural integrity continue to apply. Dubai Law 7 creates contractor accountability for meeting these requirements.
Fire and Life Safety Code
The UAE Fire and Life Safety Code of Practice requirements enforced by Dubai Civil Defence remain applicable. Contractors must maintain compliance with UAE fire safety requirements throughout construction and ensure completed works meet code requirements. This code applies alongside emirate-specific requirements throughout the UAE.
Frequently Asked Questions
The law becomes effective on January 8, 2026, six months after its publication in the Official Gazette on July 8, 2025. Existing contractors then have a one-year grace period until January 8, 2027 to fully comply with registration and classification requirements. However, contractors should begin the registration process well before the deadline to avoid bottlenecks.
Yes. Dubai Law 7 of 2025 explicitly applies to all contractors operating in Dubai including those in special development zones and free zones such as the Dubai International Financial Centre. The unified regulatory framework closes previous gaps between mainland and free zone requirements. Free zone contractors must register in the unified system.
The law requires contractors to comply with the Dubai Municipality Code of Construction Safety Practice (2024 edition and any future updates), all applicable public health, safety, and occupational safety legislation including UAE Federal Decree Law No. 33 of 2021, and site inspection requirements allowing officials to verify compliance. The law reinforces existing UAE safety obligations while creating new accountability through the registration and classification system.
Penalties include fines ranging from AED 1,000 to AED 100,000, with repeat violations within one year potentially doubling to AED 200,000. Administrative sanctions include suspension from contracting activities for up to one year, downgrading of classification, removal from the contractor registry, cancellation of commercial licenses, and revocation of Professional Competency Certificates for technical personnel.
No. Dubai Law 7 of 2025 requires prior approval from Dubai Municipality before subcontracting any work. This requirement applies throughout the supply chain. Main contractors retain overall responsibility for works even with approved subcontracting arrangements. All subcontractors must also be registered and classified under the unified system.
Contractors must retain original copies of contracting agreements, plans, and records for at least ten years from project completion or contract expiry. These documents must be available to Dubai Municipality upon request. This aligns with the ten-year liability period for major defects under UAE construction law. Proper document retention protects contractors against claims throughout the UAE statutory liability period.
Employers are prohibited from engaging contractors not registered and classified in accordance with the law. Project owners who engage non-compliant contractors risk project delays, legal disputes, potential liability, and investigation by officials with judicial inspection powers. Employers must verify contractor registration and classification before engagement and throughout project duration.
Contractors are assigned a classification based on their technical, financial, and administrative capabilities. This classification determines the nature and scope of projects they can undertake. New entrants default to the lowest tier unless they demonstrate capabilities warranting higher placement. Contractors can apply to upgrade their classification by meeting enhanced requirements and demonstrating performance.
Yes. The law specifically exempts airport-related contracting activities and their associated infrastructure. The Executive Council may grant additional exemptions on recommendation from the Committee. Unless you have received explicit exemption, assume the law applies to your operations.
All registration, classification, and certification processes will be managed through a centralized electronic platform linked to the Invest in Dubai digital portal. The Dubai Municipality manages this unified Contractor Register. Contractors should monitor the Invest in Dubai platform and Dubai Municipality announcements for registration procedures as they become available.
Important Notice
This guide provides general information about Dubai Law 7 of 2025 for educational purposes. It is not a substitute for legal advice or official regulatory guidance from UAE authorities.
The implementing regulations and detailed procedures for Law No. 7 are still being developed. Specific requirements may change as these regulations are issued. Contractors operating in the UAE should monitor official announcements from Dubai Municipality and consult qualified legal counsel for advice specific to their situations.
For current official requirements, refer to Dubai Municipality, the Invest in Dubai platform, and UAE Federal labor law resources. UAE construction regulations evolve regularly, and staying current with official sources is essential.
This guide is informational only and does not replace professional legal consultation or official UAE regulatory guidance.
Preparing for the New Regulatory Environment
Dubai Law 7 of 2025 represents the most significant change to contractor regulation in the emirate in decades. The unified framework will professionalize the sector, improve safety standards, and create greater transparency for project owners evaluating contractor capabilities. This legislation positions Dubai as a leader in construction sector regulation within the UAE and broader GCC region.
For contractors committed to operating at high standards, the new requirements should ultimately benefit their competitive position. Under-capitalized and informal operators will face higher barriers to entry, and the classification system will provide project owners with clear information about contractor capabilities. UAE construction standards continue to evolve toward international best practices.
The transition will require investment in compliance, documentation systems, and potentially staff certification. Contractors who begin preparing now will be positioned to continue operations without disruption when the law takes full effect. UAE regulatory requirements across all emirates increasingly emphasize contractor accountability and safety compliance.
The Dubai Law 7 of 2025 safety requirements establish clear expectations. Meeting those expectations protects your license to operate, your classification status, and your reputation in the market. The consequences of non-compliance are too significant to risk.
For ongoing support with Dubai Law 7 of 2025 safety requirements including registration assistance, safety program development, and compliance monitoring, AAA Safe Dubai partners with contractors throughout Dubai, Abu Dhabi, and Sharjah to maintain full regulatory compliance.
Start your compliance preparation today. The deadline is approaching faster than you think.
