The Scottish Government have issued a reminder to all in the construction sector:
“Construction sector cashflow is important all year round and imperative at the festive shutdown.
We strongly encourage all contracting authorities and businesses in every public works contract supply chain to fully comply with relevant provisions of SPPN 2/2022 and CPN 9/2020.
✅ SPPN 2/2022: https://lnkd.in/ehxA6Cbb
✅CPN 9/2020: https://lnkd.in/eMxzhpBy“
The announcement is welcome, but as well as being a helpful and thoughtful intervention, it is a reminder that often the industry doesn’t shower itself in payment glory and particularly at this time of year. See a similar reminder issued by FIS CEO Iain McIlwee in Construction News in December 2022.
2026 we will see the response to the Government’s Late Payment and Retention consultation issued earlier this year. The sheer weight of evidence supplied will, we hope, support the Government in their intention to tighten payment regulation and radical reform to retention.
In the meantime, FIS Members are reminded if they have payment issues over the festive period that they can access advice and support from the FIS team and our specialist advisors. To support the process we also issued new guidance on credit control that includes template resources and guidance on chasing payment and escalating to dispute status. This guide is included in the Business Management Section of our Contractual and Business Toolkit.