The latest construction payment performance data from Build UK show payment performance is steadily improving among major contractors.
According to their latest biannual report, 61% (27 out of 44) of tier one contractors now pay their invoices within 30 days, compared to one-third in 2021, and none at all in 2018.
On average, tier one contractors take 31 days to pay their invoices.
Colas is the slowest-paying contractor, taking an average of 63 days to settle up with suppliers. It is followed by Equans and Watkin Jones, with both taking an average of 48 days to settle payments.
At the other end of the league, ISG, Amey and Costain are the promptest payers, taking an average of 15 (ISG and Amey) and 18 days, respectively.
The ranking was published by Build UK using government data. The Duty to Report on Payment Practices and Performance requires the UK’s largest businesses to report on their payment practices every six months.
Build UK launched the payment performance table in 2018. In July 2019, it introduced a new metric to measure how many invoices are paid within 60 days of the issue date to reflect a practice within the sector.
It also publishes data for housebuilders, clients and specialist contractors.
The Department for Business, Energy and Industrial Strategy has recognised the Build UK benchmark as a model for other sectors to follow in identifying poor-performing businesses and put commercial pressure on them to pay their supply chain promptly.
