Fifty years with Red Book

When the first edition of RICS Valuation – Global Standards (Red Book Global Standards) was published in 1976, I had just graduated with a degree in Economics and was beginning my career as a trainee general practice surveyor.

My first encounter with Red Book Global Standards came at a continuing professional development event at what was then Trent Polytechnic.

I remember thinking that surely valuers do not need to be told all this. Surely, they know this information already? And that Red Book Global Standards were a bit like a beginner's guide to valuation.

However, it did not take long for me to realise the value of a document that brought professional valuation standards, guidance and supporting documents together in one place.

I found the guidance on recording comparable evidence particularly useful, and as I moved into more complex valuation work, I found myself referring to Red Book Global Standards more and more.

Around the same time, I was strongly advised that if I wanted to succeed in the property industry, I needed to become a chartered surveyor.

That led me to Trent Polytechnic on a part-time degree and then to the College of Estate Management (now the University of the Built Environment), where I studied for the RICS direct final examinations before starting my Test of Professional Competence (the forerunner of the APC).

I quickly realised that Red Book Global Standards were a fertile area for examination questions and made sure that I was able to reference them in detail.

In 1989, following the sale of our business, I returned to what was then Nottingham Polytechnic (formerly Trent Polytechnic and shortly to become Nottingham Trent University) as a senior lecturer.

Once again, Red Book Global Standards proved invaluable, providing me with a structured document on which to base my lecture programme, while also giving students practical guidance on how to apply the valuation theory that underpinned their studies.

This coincided with Red Book Global Standards becoming increasingly international in outlook.

As I worked to attract students from around the world, I often found Red Book Global Standards to be one of the profession's strongest selling points, demonstrating a commitment to globally recognised standards.

At the same time, my involvement with RICS' valuation faculty boards and governing council gave me valuable insight into the development of future editions and a deep appreciation for the countless hours of voluntary effort that the members of the valuation standards board contributed. 

Since then, I have overseen four editions and helped guide the incorporation of the International Valuation Standards.

In my time at RICS, the valuation profession faced a series of unprecedented challenges. In my view, there have been three defining 'black swan' events: the global financial crisis, which started in 2008; Brexit in 2016; and the COVID-19 pandemic from 2020 onwards.

Each of these events created significant market disruption and tested established valuation processes.

It is to the profession's great credit that it adapted successfully to these changing economic conditions. 

Throughout these challenges, Red Book Global Standards provided a reliable framework that enabled valuers to continue meeting regulatory requirements while delivering essential advice to clients and stakeholders.

Significantly, this was achieved without the need for emergency revisions to Red Book Global Standards, demonstrating the strength and flexibility of their principles-based approach.

Personally, the most challenging period I recall was during the COVID-19 pandemic, when material uncertainty declarations were quite rightly introduced across the majority of valuations.

It is a testament to colleagues throughout the profession that we were able to support the careful and managed removal of those declarations across different asset classes as market evidence returned.

In doing so, the profession helped maintain confidence in the work of chartered valuation surveyors at a time of exceptional uncertainty.

Indeed, it is no exaggeration to say that the eyes of the financial world were watching closely, and every statement we made carried significant weight in helping to avoid the collapse of the global economy and the untold suffering such an event would bring with it.

Fifty years on, Red Book Global Standards remain one of the profession's great success stories, continuing to evolve while providing the trusted framework that underpins valuation practice around the world.

This article is the sixth in a series to mark the 50th anniversary of Red Book Global Standards. The series looks at how RICS' valuation framework is applied in a selection of non-UK jurisdictions and reflect on five decades of Red Book Global Standards more broadly.