Prime minister David Cameron has responded to a letter sent by NSCC asking the government to take decisive action on extended payment terms in construction following reports that Carillion is increasing its maximum payment terms from 65 to 120 days as part of a new payment system.
In his letter, Mr Cameron stated that he was “very aware of the pressures faced by subcontractors in the construction sector” and that “the construction supply chain should not have to wait for lengthy periods to be paid for work they have already completed”.
He added that “this is something the government takes extremely seriously’” and that “payment will be included within the Industrial Strategy for Construction”.
You might also like...
Delayed second hearing of retentions reform bill set for March 8
Key building services bodies have said that the heads of 15 parliamentary committees have now shown support for proposed legislation that would ringfence cash retentions
Industry ‘no deal’ disruption fears persist despite Brexit delay
With the UK presently scheduled to leave the UK in April, the EU has set out plans to prepare member states for a ‘no deal’ scenario that is expected to see significant delays in border controls
Government urged to rethink Brexit skilled migration restrictions
BESA has backed calls from the Construction Leadership Council for a rethink of immigration rules to prevent a drastic shortfall in industry skills amidst the continued threat of a no-deal Brexit
Building services survey highlights 2019 cost and payment challenges
Study focused on Q4 2008 performance warns that Brexit uncertainty, increased costs and late payments are all expected to restrict industry income this year
Have your say
You must sign in to make a comment
Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.