News
8 | DECEMBER 2017
News
Read online at www . proinstaller . co . uk
ARE SMES BEING TAKEN FOR A RIDE ?
The recent report on late payments from the Federation of Master Builders ( FMB ) makes for grim but highly predictable reading .
A quarter of firms are waiting up to four months for payment , a fifth cite late payment as a drag on expansion plans , and five per cent need to withhold wages and salaries from staff – all due to late payment issues .
To add to that , almost ten per cent of firms surveyed went out of business due to late payment .
It is an issue that has dogged the construction industry for decades . Administrators ’ reports often cite payment issues as a factor in bringing down well-run firms .
The FMB has dubbed late-paying clients and large ( read : tier one ) contractors as cowboys .
But when the public sector is also included in the blame game , is it really cowboy behaviour from a few firms that is to blame , or actually the quiet acquiescence from many within the sector ?
A report published earlier this year revealed that nearly twothirds of SMEs are not being paid for public sector work within the required 30 days .
The problem of late payments spreads like a virus and its symptoms arguably turn up everywhere you look .
Productivity levels in construction are notoriously bad , and have barely improved in decades . A series of reports have found that the supply chain is disjointed and fragmented . How late payments relate to these issues is an intriguing question that needs to be better understood . How many SMEs would or could use the money withheld by late payers to grow , invest or innovate ?
The government has woken up to the issue , with the long-awaited consultation on retentions launched by the Department for Business , Energy and Industrial Strategy ( BEIS ) a welcome move . However , without action the consultation could end up as yet another report left to gather dust while the problem goes on .
The government has been spurred to act on the back of an impact assessment conducted by Pye Tait on behalf of BEIS , which found that the estimated amount held in industry retentions in England over the course of a given year is £ 3.2bn- £ 5.9bn ( in 2015 prices ).
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what would a £ 30bn cash injection do for the industry ’ s smaller players ?
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The report comes at the same time as yet another study by the National Federation of Builders that the construction industry was the worst-offending sector of the UK economy when it came to late payments , with SMEs owed up to £ 30bn in unpaid invoices .
Imagine : what would a £ 30bn cash injection do for the industry ’ s smaller players ?
I would hazard a guess that the effect would be substantial .
Labour leader Jeremy Corbyn referenced the issue at the CBI conference , noting that Labour was ready to look into the late payment problem across all business sectors .
The big question for construction is whether the industry has the motivation to tackle this issue by itself once and for all , or instead see mandatory legislation imposed on it from above .
SIMPLE CILL ADDS VALUE
Spectus Window Systems has recently introduced the new universal two-part cill to its product portfolio . The two-part cill means that window cills are now installed in a simple two-step process . Firstly , the cill receiver is fitted during the construction process and secondly the cill nose is clipped on upon project completion .
Carmen Velilla , Spectus ’ Brand Manager commented : “ The twopart cill is a product that demonstrates how such a small change can make such a big difference .”
WINDOWS RETAIN SCHOOL ’ S CHARACTER
A prestigious grammar school is reaping the aesthetic and practical benefits of VEKA ’ s Matrix 70 windows , installed throughout the 85-year-old building . The work follows a successful bid to the Education and Skills Funding Agency Condition Improvement Fund .
When Wirral Grammar School for Boys needed to modernise the windows on the main school building , built in 1931 , it was faced with the task of finding windows to suit the architecture , as
Many original MTC Cards are currently expiring now and through 2018 and need to be renewed . Installers and surveyors should be wary over which card they use as some have switched from being personal cards to company cards that need replacing each time you change job . Those working on a sub-contracting basis may need more than one company card .
well as helping to standardise the temperature throughout the school and classrooms .
VEKA stepped up to the challenge , working with the architect and surveyor Arcadis to specify over 200 windows .
VEKA ’ s Matrix 70 windows , manufactured from PVCu , helped to keep the design as close as possible to the original Georgian bar windows , while improving heat retention . The windows now also push out , instead of inwards as they did previously , allowing for
The two-part cill was showcased by Epwin Window Systems at this year ’ s FIT Show and feedback from customers was very positive . Carmen said , “ Our customers welcomed the simplicity of the product and the value it offers . It ’ s another great addition to Spectus ’ product portfolio .”
The new Spectus two-part cill comes with a choice of cill noses and is available in all the 28 colours in the Spectrum colour range .
www . spectus . co . uk
improved ventilation throughout the rooms of the school .
https :// vekauk . com / products / veka-new-m70 /
UPGRADE TO A CORGI CARD
The new CORGI Fenestration Skills Card is your personal card . It represents the ‘ gold standard ’ by only recognising the best qualifications in the glazing sector – those developed and certified by GQA Qualifications .
It could not be easier to upgrade . If your existing MTC Card was issued by you achieving a GQA accredited NVQ then you automatically meet CORGI Fenestration requirements and can get
a card straight away . If your NVQ is about to expire you can easily complete a competency upgrade and get your card that way .
74 % of UK consumers recognise the CORGI name for trust , reliability , expertise and quality . Just think how valuable it would be to have the CORGI name linked to your qualifications and on your Skills Card .
www . corgifenestration . co . uk