Dubai Municipality is to introduce an updated code of building specifications and conditions with special focus on safety and environmental standards.

Contractors and professional consultants should adhere to the new code to obtain and maintain building licences, a local newspaper report said.

Industry sources said the new code is set to improve building standards and contractors would be forced to work in a "level playing field".

The municipality will impose penalties and take disciplinary measures on errant contractors and consultants.

Industry sources welcomed the new code as it is believed it would lead to improved safety in the building industry.

The sources said a short-term price increase could occur when the new code came into effect from October 1.

The code, which was originally formulated in 1970, pays particular attention to greater use of capacity on mezzanine floors and increases restrictions on balconies and extensions.