Opinion: Subbies suffer again over Connaught

Grant Prior 14 years ago
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The fall of Connaught has been fairly traumatic for all those involved.

But one group knows they are always going to get dumped on when a main contractor goes into administration.

Step forward the subcontractors and suppliers who seem destined once again to be left with a stack of unpaid bills and a burning sense of injustice.

It is a rotten system that allows trade contractors and materials suppliers to always lose out when a company fails.

The new coalition government is pro-private business so it must be time for a rethink of the rules, which allow all debts to be dumped once a firm goes under.

Subbies and suppliers are expected to suck it up and carry on happily working with new owners and just simply forget former bills which will go unpaid forever.

Cancelling debts and stretching payment periods is a toxic mix which is destroying trade contractors through no fault of their own.

The solution to payment delays should be simple with contractors made to stump up money within 30 days at the latest.

Successive governments have tried and failed to make that stick and anecdotal evidence reaching the Enquirer suggests payment periods are getting longer as we slowly crawl out of recession.

A revamp of the whole administration process is also needed to provide more compensation for suppliers.

Firms like Morgan Sindall and Mears have snapped-up potential bargains following the fall of Connaught.

It seems grossly unfair that those returns could come at the expense of the hard work for no reward of trade contractors.

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