FM Conway penalised for failing to pay suppliers on time

Highway maintenance contractor FM Conway is the latest contractor to be suspended from the Prompt Payment Code for failing to pay suppliers on time.

Administered by the Chartered Institute of Credit Management (CICM) on behalf of the Department for Business, Energy and Industrial Strategy (BEIS), signatories to the Code pledge to uphold its best practice for payment standards to end the culture of late payment and to pay 95% of all supplier invoices within 60 days.

CICM said it has received an action plan from FM Conway and is working with the company to improve its performance.

Since the Institute announced the last round of suspensions in November, a number of contractors have been reinstated to the code.

Balfour Beatty, Engie Services, Ferrovial Agroman (UK), John Sisk, Kier Construction, Kier Infrastructure, Galliford Try, Laing O’Rourke and Persimmon have all been rewarded for demonstrating improvements.

Construction firms still suspended include Eurovia Infrastructure, Kier Integrated Services, Kier Highways, McNicholas Construction Services and Seddon Construction.

CICM chief executive Philip King, who chairs the Prompt Payment Code’s compliance board, said: “We 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 by those who have already submitted action plans to achieve future compliance, and we are working closely with those businesses to support a better payment culture.”

Tags: CICM, FM Conway

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