The SEC Group found that only 25% of public sector bodies had a system in place to track the speed of payments.
In addition to these statistics, the group also discovered that 9 in 10 public sector clients used a cash retention system to withhold payment – improving capital available in the short-term.
Furthermore only 14% of public sector clients made use of PAS 91 pre-qualification questionnaires, which are designed to save suppliers time when looking to gain public sector work.
SEC Group have assembled a six-point plan to ensure to ensure fair payment throughout the construction supply chain:
1. All public sector payments should be made within 30 days of the end of the month when the work was carried out.
2. Organisations failing to pay their supply chain within 30 days should be excluded from bidding for further public sector contracts for a year.
3. Cash retentions should be required to be placed in trust, in a segregated account.
4. Targets should be set to introduce project bank accounts throughout the public sector, to ensure the supply chain is guaranteed payment.
5. Pre-qualification processes should be standardised throughout the public sector.
6. The office of Public Procurement Ombudsman should be created to keep track of payment timeliness.
Integrity Software Systems,
First Floor, Landmark House East,
Phone: 0345 340 3040
Sadolin is helping tradespeople get ready for the colder months, with the launch of a new winter promotion, available exclusively through Sadolin’s merchant stockists.Posted in Articles, Building Industry News, Building Products & Structures, Garden, Paints, Coatings & Finishes, Posts, Restoration & Refurbishment, Timber Buildings and Timber Products
Kingspan Group has launched Kingspan Facades – a new business aimed at helping architects enhance their designs, with no compromise on technical performance.Posted in Articles, Building Industry News, Building Products & Structures, Facades, Innovations & New Products, Insulation, Posts, Walls
Cliff Riley, Senior Technical Engineer at Keystone Lintels, talks about a modern coastal residential property was one of his favourite projects to work on.Posted in Articles, Building Industry News, Building Products & Structures, Case Studies, Posts, Retrofit & Renovation, Walls, Windows
Flat roofing specialist Icopal, a BMI Group company, has produced a six-page guide that explains the fire risks of flat roofing and how to mitigate them.Posted in Articles, Building Industry News, Building Products & Structures, Building Regulations & Accreditations, Health & Safety, Research & Materials Testing, Roofs, Security and Fire Protection