The four construction companies are among those that have failed to honour their Code commitment to pay 95% of all supplier invoices within 60 days. The Code is administered by the Chartered Institute of Credit Management (CICM) on behalf of the Department for Business, Energy & Industrial Strategy (BEIS). Signatories pledge to uphold its best practice for payment standards to end the culture of late payment.
Galliford Try, Alun Griffiths, Severfield and Ferrovial Agroman join a list of shame that already includes Balfour Beatty, Costain, Interserve, Persimmon and Laing O鈥橰ourke, who were suspended in April. (See our previous report here.)
The full list of companies suspended or removed from the Code today is:
- Severfield (Design & Build)
- Stantec UK
- Screwfix
- Prudential
- British American Tobacco
- Galliford Try
- Alun Griffiths
- Ferrovial Agroman (UK)
- BAE Systems Global Combat Systems
- BAE Systems Applied Intelligence
- BAE Systems (Oman)
- Centrica
- Maintenance Management
- Fujitsu Services
- De La Rue Holdings
- Domino UK
- BT
Businesses suspended from the Code are invited to produce an action plan that leads to a substantial improvement in payment performance and are reinstated to the Code as soon as they demonstrate compliance.
CICM chief executive Philip King said: 鈥淲e will continue to challenge signatories to the Code if the obligatory Payment Practice Reporting data suggests that their practices are not compliant. We are encouraged that of the 18 who have been suspended or removed today, all but one has already submitted action plans to achieve future compliance, and we are working closely with those businesses to support a better payment culture.鈥�
Small business commissioner Paul Uppal added: "Large companies who are not currently meeting the Code Standards need to note their unethical payment practices will not be tolerated. The suspension of those who are failing to meet their obligations demonstrates government is committed to ensure small businesses are treated fairly."
Small business minister Kelly Tolhurst said: 鈥淎s a former small business owner I know how damaging late payments can be. Although the vast majority of businesses pay their bills on time, we recently announced ambitious new measures to level the playing field for small businesses as part of our modern industrial strategy. These include plans to hold company boards accountable for payment practices and proposed new powers for the small business commissioner to tackle late payments through fines and binding payment plans.鈥�
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