31 October 2018
Build UK Publishes New Information on Payment Terms
Build UK has added information on the payment performance of its eligible Client members and largest Specialist Contractors alongside the results of its Contractor members published earlier this year.
Using data submitted under the Duty to Report on Payment Practices and Performance, which requires all large companies to report on their payment practices every six months, Build UK is benchmarking its members on the average time they take to pay invoices and the percentage of their invoices paid beyond terms. The data is providing a clear and comprehensive picture of payment across the construction supply chain and the increased level of transparency is the first step towards improving payment performance.
The Government has identified the need for a more sustainable business model and improved payment practices within the Construction Sector Deal and welcomed the move by Build UK to drive cultural change within the industry on this fundamental issue.
Build UK Deputy Chief Executive Jo Fautley said:
“The industry now has access to information on how a range of companies are paying their supply chains which can be used to make more informed decisions about who to work with. Changing payment practices that have been embedded within the industry for many years will take time but this issue is now firmly in the spotlight and we have a clear benchmark to measure progress.”
Information on a range of Build UK members can be found on the Build UK website. The majority of members will be reporting for a second time at the end January 2019 which will provide an early indication of whether payment practices are improving. Detailed information on all businesses that are required to report can be found on GOV.UK.