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For an 853 frame I'd put it around £1.5k. Unless you add lots of fancy bits like internal dynamo wiring, although I've got no idea what Ted's prices are.
Rough guide:
http://www.geoffrobertsframes.co.uk/pricing/
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1.5 sound about right for a basic frame TBH.
2.5 again sound right with all the extra added.
@ExTra find out what his deposit is, it's likely it may a year maybe more, and allow you to save up and pay in instalment (after the deposit).
just the F&F... I was looking at some other frame builders who have a price list and basic one is about 1.5k F&F... and if I am going custom, I'd want more than a basic one... hence the 2.5k guess... too much? too little?