Business Resilience
Creating a fairer business landscape
For over a century ECA has worked tirelessly to improve the commercial environment in which Members operate and to bring transparency to damaging practices.
As business operators, ECA Members know the importance of an equitable commercial environment to stimulate growth in the sector. For over a century ECA has worked tirelessly to improve the commercial environment in which Members operate and to bring transparency to damaging practices. It continues to champions the interests of engineering services firms today.
Thanks to ECA’s tireless efforts in recent years:
- Legislation has changed to shorten the legal time to pay contractors to 30 days in the public sector,
- Government has made it a requirement that public sector suppliers must demonstrate an average payment time of 55 days to win public contracts, and
- Increase scrutiny of payment reporting regulations by ensuring reports include the value of payments made within certain timeframes, as well as the volume of payment made in those periods.
What is the issue?
Poor payment behaviour
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Poor payment behaviour
Poor payment behaviour throughout the supply chain leads to delays in payment and cash flow issues for sub-contractors, inhibiting growth and investment.
Under-priced procurement bids
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Under-priced procurement bids
Under-priced procurement bids lead to cutting corners, resulting in quality, compliance and safety issues.
Financial risk carried disproportionately by SMEs
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Financial risk carried disproportionately by SMEs
Financial risk carried disproportionately by SMEs who tend to be at the end of the supply chain, fuels business failure.
What is ECA calling for?
Fairer, quicker and more secure payments to all businesses
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Fairer, quicker and more secure payments to all businesses
- Improving and implementing legislation and policy to improve payment behaviour (including the implementation of the Construction Playbook within industry).
- Ensuring transparent digital systems evolve to facilitate payments quicker and fairer payments.
- Designing systems for fair and protected use of retentions where necessary and used.
Value, not cost-led, procurement
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Value, not cost-led, procurement
- Promotion of whole-life procurement.
- Alignment of national and local procurement processes to embrace SMEs.
- Pursuit of early involvement of engineering services.
Fairer risk sharing between client and industry
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Fairer risk sharing between client and industry
- Fair risk and reward – appropriate allotment of risk throughout the supply chain.
- Eradication of onerous contractual practices inhibiting growth.
- Standardised approach to contracting to enable improved industry performance.
ECA's Business Resilience Activity
ECA Survey Explores Payment Abuse
July 2025: ECA launched a survey to uncover how late payments impact mental health across the construction and FM sectors. Read more >
ECA Employment Rights Update
July 2025: ECA to guide employers through the staged changes and recent amendments of the UK Government’s Employment Rights Bill, which introduces workplace reforms that would greatly impact electrical contractors. Read more >
ECA Backs Pay Consultation
July 2025: ECA welcomes the Government’s consultation on late payments and retentions, calling for fair, enforceable reform to support SMEs and protect supply chain resilience. Read more >
ECA drives Gov Consultation
July 2025: ECA helped push the launch of a new Government consultation by the Department for Business and Trade (DBT). The consultation asks for views on new laws to stop late payments and make sure businesses are paid fairly and on time. Read more >
Gov. Small Business Strategy
July 2025: ECA responds to call for evidence. For more details please contact Jane.dawson@eca.co.uk
ECA Welcomes Industrial Strategy
June 2025: ECA welcomes the UK’s Modern Industrial Strategy, highlighting its plans to support SMEs by addressing late payments. Read more >
ECA Blueprint for Electrification
April 2025: ECA report calls for improvements to the business environment to achieve electrification goals. Read the report in full >
ECA signs Energy Bill Levy Reform Letter
March 2025: ECA joined 35 organisations signing an open letter to the Secretary of State, Ed Miliband, calling for urgent reform of the electricity levies. Read more >
Landmark amendment to Payment Practices approved
January 2025: Following consistent advocacy by ECA, the amendment to Reporting on Payment Practices and Performance Regulations has been approved, representing a long-awaited win for ECA Members and the wider construction industry. Find out more >
ECA calls for changes to Business Property Relief
December 2024: ECA seeks consultation on Business Property Tax Relief. Read more >
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