Minister for Political and Constitutional Reform Chloe Smith MP reaffirmed the Government’s commitment to fair payment in the construction industry at the 2012 NSCC Annual Lunch on 21 November.
Over 175 guests from across the supply chain joined NSCC, National Specialist Contractors Council, in celebrating five years of success for the Fair Payment Campaign and the Minister highlighted how efficiency savings can be realised through prompt payment.
The Government is aiming to increase efficiency in the public sector by up to 20 per cent by 2015 and the industry is set to benefit from faster and more secure payments through the use of Project Bank Accounts (PBAs) with £4 billion worth of projects to be awarded through PBAs by the end of 2014.
Congratulating NSCC on the achievements of the Fair Payment Campaign, the Minister said: “No business can be at its best when it is not being paid properly and by that I mean being paid the amount agreed, for work properly executed, and, just as importantly, in good time. Timely access to cash is critical to the survival of all businesses…and there is now a contractual obligation for all central Government contracts to be paid within 30 days.”
NSCC President Kevin Louch said: “It is encouraging that the Government is leading the way when it comes to fair payment practices and its support has been fundamental to the progress that has been made by the Fair Payment Campaign over the past five years. I am incredibly proud to be part of ‘Team NSCC’ which remains committed to improving the business environment for Specialist Contractors.”