ECA's Director of Legal and Business Rob Driscoll has spoken to Construction News about the Government's recently announced raft of measures to improve payment times for subcontractors - a key industry issue ECA has been working to improve for years.
Rob, who is also Chair of the Cabinet Office SME Advisory Penel Payment Group said,
"We know that the payment reporting regs have been a game-changer lifting the lid on the truth behind the payment behaviour of large businesses.
"We also know that unless they are upgraded, they will not remain a credible source of data. In volatile trading conditions, the lived experience within the market has proven significantly different from the picture painted by the data.
"It is great the Government is listening and acting - not only to ensure value of payments made, is measured equally alongside the volume of payments, but now to ensure the lid is lifted on the scope and extent of the use of cash retentions. Transparent metrics on the use and abuse of retentions – amount, milestones, unpaid – all allow more informed commercial decisions on who to work with. I’ve no doubt the digital payment platforms that currently facilitate reporting, will easily pivot to facilitate additional reporting requirements and build out the required functionality."
Last updated 04 October 23