Trade body Build UK has advised that its members are continuing to improve payment performance within the construction sector. The average time for Contractors to make payment of invoices is now down to 40 days.
That is a massive improvement of 5 days compared with the last set of statistics put together by the Trade body which started collating the Late Payment behaviour of its members 12 months ago.
Jo Fautley who is the deputy Chief Executive of Build UK commented: “Over the past year, Build UK members have taken significant steps to improve payment performance within their organisations, demonstrating the value of increased transparency.
“Whilst there is still work to be done, with a number of companies recently being suspended from the Prompt Payment Code, this issue is now firmly under the spotlight at a senior level and these latest results show that the industry is serious about tackling it.”
Chair of the Construction Leadership Council Andy Mitchell welcomed the news from the latest report findings “I welcome the publication of the latest payment results of Build UK members.
“Construction remains the only sector that has taken the initiative to publish its results in this way and, with Build UK’s leadership, firms in the sector are changing the culture of late payment and improving payment performance.”
The UK’s Construction Industry has had a long running battle with Late Payment over the years with clients and contractors a like suffering with unpaid construction debts.
The latest findings from Build UK’s report will be welcomed by all quarters and it is hoped that other industries can follow suit to give the British economy a boost in the wake of Brexit.
Whilst these latest reports provide positive and welcome reading, Suppliers down the food chain such as Timber and Builders Merchants still feel the pinch of non payment. It is in these sectors where Business Owners are urged to take a positive stance against non payment.