Menu
Wed, 29 March 2023

Newsletter sign-up

Subscribe now
The House Live All
Mission Zero: Why the Skidmore Review can kickstart the nation’s journey to net zero Partner content
Environment
New guidance empowers construction clients to help drive up standards, collaboration, innovation and value Partner content
Environment
How can the UK turbocharge its ambition to be a science and technology superpower? Partner content
Economy
By Chris Hayward
Economy
Economy
Press releases
By Amey

NFB supports Abrahams’s bill on project bank accounts in public sector projects

National Federation of Builders

1 min read Partner content

The supply chain needs to be a fairer place for SME subcontractors, says NFB.


Debbie Abrahams MP has pledged to introduce a ten minute rule bill in Parliament ensuring that public sector projects over £500,000 use project bank accounts.

Abrahams thinks that her bill would stop small and medium-sized (SME) businesses being paid late by large companies, whilst protecting them from losing any money they are owed.

Project bank accounts (PBAs) are ring-fenced bank accounts within a trust arrangement so that, if a tier 1 contractor collapses, as Carillion did in January 2018, subcontractors will still receive money they are owed.

The National Federation of Builders (NFB) admires Abrahams’s hard work towards ensuring that SME subcontractors are treated with respect throughout the supply chain and the public sector needs to take a leading role in stamping out late payment.

Richard Beresford, chief executive of the NFB, said: “The NFB applauds Abrahams’s efforts to make the supply chain a fairer place for SME subcontractors. This bill could be the nudge needed to push contractors away from the business model that has payment delays built in.”

Categories

Economy
Podcast
Engineering a Better World

The Engineering a Better World podcast series from The House magazine and the IET is back for series two! New host Jonn Elledge discusses with parliamentarians and industry experts how technology and engineering can provide policy solutions to our changing world.

NEW SERIES - Listen now