Tag : SMEs
The Association of Plumbing and Heating Contractors (APHC) has warned that the scope of late payments still owed to SMEs working in the building services sector remains too high, with smaller companies in the industry often being forced onto unfair terms.
The government has today launched a call for evidence concerning how best to end late payments to small businesses.
The UK government is being urged by a key building services body to immediately introduce legislation to tackle the practice of late payments within the construction supply chain, rather than delaying potential reforms in favour of voluntary commitments or further consultations.
Engineering services firms providing gas, fire, heating and ventilation services are owed roughly £75m from construction and services giant Carillion, which formally announced its liquidation last week.
Business secretary Greg Clark has welcomed commitments from several banks to support small businesses facing financial difficulties as a result of the collapse of Carillion earlier this week as specialist contractors seek to assess longer-term impacts on their operations.
Uncertainty remains over the future financial stability of a significant number of SMEs and contractors in Carillion’s supply chain following yesterday’s announcement of the liquidation of the construction and services giant.
A new bill mandating that all cash retentions from construction work are held in deposit protection schemes receives its first reading in parliament today.
The Welsh Government will mandate from January 1 that project bank accounts (PBAs) are used for building projects valued at over £2m and that are procured by any of the devolved authority’s bodies.