THE Scotland and Northern Ireland’s Plumbing Employers’ Federation (SNIPEF) has added its voice to those backing HS2’s decision to use project bank accounts (PBAs) for key projects in Phase 1 of the landmark rail scheme.
The organisation said the use of PBAs provides ‘more transparent and speedier’ payments for companies at all levels of the supply chain. This is because payments are made from one central pot and do not have to cascade through multiple tiers of contractors.
Fiona Hodgson, chief executive of SNIPEF said, “This is excellent news and something that the construction industry in Scotland has been calling for over many years. It is especially welcome since the HS2 project will generate an estimated 400,000 contracts across its supply chain and that two thirds of these will be with SMEs. It is our hope that the acceptance of PBAs by such a flagship project will act as an exemplar for all construction projects, major and minor, in future.
“The announcement is also, I believe, an acknowledgement of the hard work done by the Specialist Engineering Contractors (SEC) Group, of which SNIPEF is a member, which has been lobbying for PBAs over recent years.”