SNIPEF has welcomed the announcement in the King’s Speech that the UK Government will bring forward legislation on late payments.
Fiona Hodgson, chief executive of the plumbing and heating trade body, said that for many businesses in the sector, particularly SMEs, delayed payments and withheld retentions continue to place ‘unnecessary pressure’ on cash flow, investment and apprenticeship recruitment.
She added, “The plumbing and heating industry, and the wider construction sector, have waited a long time for meaningful reform in this area, and stronger protections for smaller businesses are overdue. However, it is essential that any changes do not simply replace one burden with another. Reforms must be practical, proportionate and avoid creating costly or complex alternative arrangements that could disproportionately impact SMEs and specialist contractors.
“Improving payment certainty and fairness across the supply chain is critical, but the detail of implementation will determine whether these reforms genuinely support smaller businesses in practice.”
