Over 100 MPs back ring-fencing of retentions

Aaron Morby 11 months ago
Share

Political support for holding cash retentions in trust has soared with over 100 MPs already in favour of ring-fencing subcontractors’ money.

MP Peter Aldous has tabled a private members Bill calling for cash retentions to be placed in trust

The number of cross-party MPs supporting retention reform has jumped 10-fold since Carillion collapsed in January, six days after the first reading of the Aldous Bill which seeks to place retentions into independently held protection schemes.

Engineering specialist trade bodies – BESA, ECA and SEC Group – believe there is now a groundswell of support in Parliament to push through the Bill as it comes up for a second reading on Friday 27 April.

In the wake of the Carillion collapse, a coalition of over 75 bodies, representing over 340,000 businesses, has united behind Peter Aldous’ retentions reform efforts and next week will present a petition to 10 Downing Street.

Peter Aldous MP said: “Industry support for reform to outdated payment systems is at unprecedented levels, for which I am very grateful.

“The petition being presented represents over 330,000 businesses and there are over 100 of my Parliamentary colleagues that support reform to the practice of cash retentions.

“We have a golden opportunity to improve the industry for the better, level the playing field for SMEs and protect thousands and thousands of jobs.

“The industry loses around £1m for each working day, mostly from SMEs. There have been proposals to stop the abuse of retentions before, but this time there is the largest coalition on fair payments ever.”

ECA Director of Business Paul Reeve said: “Carillion’s collapse highlighted serious supply chain and procurement problems in construction, which need an urgent remedy.

“Reforming the payment and cash retention systems is an essential requirement for protecting smaller businesses, ensuring the successful future of the UK construction industry, and for sustainable economic growth.”

David Frise, CEO of BESA said: “The urgent need for reform is clear from the cross-party support the Aldous Bill has. The impact from lost Carillion retention money on apprentices, jobs and investment in the sector is already evident. Holding cash retentions in trust will make sure that the money is safe and does what it is intended to do.”

In his Spring Statement last month Chancellor Philip Hammond vowed to crack down on late payment culture by issuing a call for evidence on how “the continuing scourge of late payments” can be eliminated.

Supporting MPs

  • Abrahams, Debbie (Lab.)
  • Aldous, Peter (Con.)
  • Amesbury, Mike (Lab.)
  • Antoniazzi, Tonia (Lab.)
  • Bardell, Hannah (SNP.)
  • Bellingham, Henry (Con.)
  • Bottomley, Peter (Con.)
  • Brake, Thomas (Lib.Dem.)
  • Brown, Alan (SNP.)
  • Cable, Vince (Lib.Dem.s)
  • Campbell, Ronnie (Lab.)
  • Chalk, Alex (Con.)
  • Chapman, Douglas (SNP.)
  • Churchill, Jo (Con.)
  • Clarke, Kenneth (Con.)
  • Cooper, Rosie (Lab.)
  • Courts, Robert (Con.)
  • Crausby, David (Lab.)
  • Cunningham, Jim (Lab.)
  • Day, Martyn (SNP.)
  • Dent Coad, Emma (Lab.)
  • Dhesi, Tanmanjeet Singh (Lab.)
  • Drew, David (Lab.)
  • Dromey, Jack (Lab.)
  • Duffield, Rosie (Lab.)
  • Edwards, Jonathan (Plaid Cymru)
  • Ellman, Louise (Lab.)
  • Esterson, Bill (Lab.)
  • Farrelly, Paul (Lab.)
  • Fitzpatrick, Jim (Lab.)
  • Frith, James (Lab.)
  • Gaffney, Hugh (Lab.)
  • Gapes, Mike (Lab.)
  • George, Ruth (Lab.)
  • Gethins, Stephen (SNP)
  • Gibson, Patricia (SNP)
  • Godsiff, Roger (Lab.)
  • Green, Kate (Lab.)
  • Hancock, Matt (Con.)
  • Harman, Harriet (Lab.)
  • Hayes, Helen (Lab.)
  • Henderson, Gordon (Con.)
  • Hendry, Drew (SNP)
  • Hobhouse, Wera (Lib.Dem.)
  • Hodge, Margaret (Lab.)
  • Hollinrake, Kevin (Con.)
  • Hollobone, Philip (Con.)
  • Hughes, Eddie (Con.)
  • Huq, Rupa (Lab.)
  • Jones, David (Con.)
  • Keegan, Gillian (Con.)
  • Killen, Gerard (Lab.)
  • Kinnock, Stephen (Lab.)
  • Lake, Ben (Plaid Cymru)
  • Lefroy, Jeremy (Con.)
  • Letwin, Oliver (Con.)
  • Lloyd, Stephen (Lib.Dem.)
  • Lloyd, Tony (Lab.)
  • Long-Bailey, Rebecca (Lab.)
  • Loughton, Tim (Con.)
  • Lucas, Caroline (Green)
  • Main, Anne (Con.)
  • Malhotra, Seema (Lab.)
  • Martin, Sandy (Lab.)
  • McCarthy, Kerry (Lab.)
  • McDonald, Stuart C. (SNP)
  • McDonnell, John (Lab.)
  • McFadden, Pat (Lab.)
  • McGovern, Alison (Lab.)
  • McKinnell, Catherine (Lab.)
  • McMorrin, Anna (Lab.)
  • Mills, Nigel (Con.)
  • Moran, Layla (Con.)
  • Morris, Grahame M (Lab.)
  • Newlands, Gavin (SNP)
  • Onasanya, Fiona (Lab.)
  • Pearce, Teresa (Lab.)
  • Penning, Mike (Con.)
  • Phillips, Jess (Lab.)
  • Poulter, Daniel (Con.)
  • Prisk, Mark (Con.)
  • Rashid, Faisal (Lab.)
  • Reeves, Ellie (Lab.)
  • Reynolds, Emma (Lab.)
  • Rimmer, Marie (Lab.)
  • Robinson, Gavin (DUP.)
  • Rosidell, Andrew (Con.)
  • Russell-Moyle, Lloyd (Lab.)
  • Shah, Naseem (Lab.)
  • Shannon, Jim (DUP.)
  • Sharma, Virendra (Lab.)
  • Sheerman, Barry (Lab.)
  • Siddiq, Tulip (Lab.)
  • Simpson, David (DUP)
  • Skinner, Dennis (Lab.)
  • Smeeth, Ruth (Lab.)
  • Snell, Gareth (Lab.)
  • Sobel, Alex (Lab.)
  • Soubry, Anna (Con.)
  • Spellar, John (Lab.)
  • Stephens, Christopher (SNP)
  • Stevens, Jo (Lab.)
  • Streeting, Wes (Lab.)
  • Thewliss, Alison (SNP)
  • Throup, Maggie (Con.)
  • Trickett, John (Lab.)
  • Twigg, Stephen (Lab.)
  • Twist, Liz (Lab.)
  • Vaizey, Ed (Con.)
  • Walker, Thelma (Lab.)
  • Warburton, David (Con.)
  • West, Catherine (Lab.)
  • Western, Matt (Lab.)
  • Williamson, Gavin (Con.)
  • Whitfield, Martin (Lab.)
  • Whitford, Philippa (SNP)
  • Williams, Paul (Lab.)
  • Yasin, Mohammad (Lab.)
  • Zeichner, Daniel (Lab.)

Latest news

Competition probe launched into construction services

CMA says investigation into possible bid rigging is at a very early stage
2 days ago

Main construction work starts on 50-storey City tower

Lendlease breaks ground at 8 Bishopsgate ahead of three-year+ build programme
2 days ago

Morgan Sindall seals £1bn Essex council development deal

Brentwood Council housing delivery partnership follows Hertfordshire deal
2 days ago

Costain to start £125m Tyneside A19 upgrade

Work on bundled junction upgrades to start immediately
2 days ago

Eric Wright wins Pooley replacement bridge in Cumbria

New bridge to be first single span bridge of its type in the country
2 days ago

McGee clears vast west London site for HS2 crossover box

Costain/Skanska/Strabag JV to build 130m long Victoria Road box for HS2 railway
2 days ago

School wall collapse kills construction worker

Tragedy on school extension site in Bath
2 days ago

Subcontractors wanted for South Coast sites

Work opportunities up for grabs at Meet the Buyer event: Register now
3 days ago

Boost your online presence – join the Enquirer Directory

New site for suppliers and buyers showcases products, services and latest stories
11 months ago

Burst pipe causes flash flood at Battersea Power Station site

Video: Watch dramatic footage of water pouring through major London project
3 days ago

Wates trumpets record order book despite Brexit slowdown

9% fall in construction revenue offset by rise in residential and property services
3 days ago

Vinci wins £100m UCL East student blocks deal

Firm secures Olympic Park twin student buildings
3 days ago

Persimmon launches retention scheme for home buyers

New home owners can withhold cash until any build faults are sorted out
3 days ago

Griffiths to restart Dawnus £14m Swansea road job

Welsh civils firm to take on Kingsway city centre scheme
3 days ago

Hunt for £6bn Meridian Water phase 2 developer

Up to 250 affordable homes to be built in Meridian Two scheme
4 days ago

BBC construction skills blasted over EastEnders set woes

Lack of project management skills leads to £27m cost over-run and five-year delay
3 days ago

Kier slumps to £35.5m loss as problem contracts continue

Workloads wobbling in highways, utilities and housing maintenance markets
4 days ago

Go-ahead for £175m Cumbrian deep coal mine

Plans advance for Britain's first deep coal mine for 30 years
4 days ago

Hi Vis site wear launched for pregnant women

Clothing designed to make life safer and more comfortable "from bump to baby"
4 days ago

Speedy buys powered access hirer for £9.6m

Lifterz deal allows Speedy to offer nationwide powered access equipment hire
4 days ago

Build to rent specialist plans Bolton urban village

Placefirst to use in-house contractor for £27.5m scheme
4 days ago

Water winners revealed for £2bn Severn Trent spend

More contractors win first lots on AMP7 as client revamps working practices
4 days ago

Stranded Carillion chief takes helm at Kier

Andrew Davies named new Kier chief executive
5 days ago

Interserve £170m prison project to be rebid

Ministry of Justice confirms Glen Parva to be tendered as a publicly funded project
5 days ago

Cabinet Office promises Interserve subbies will get paid

Parliamentary Secretary makes pledge in House of Commons debate
5 days ago

Sir Robert McAlpine commercial director exits

Martin Pitt steps down from board after four years at group
5 days ago

Lakehouse subbies plan showdown with Sureserve bosses

Suppliers owed millions to demand answers at company AGM
5 days ago

Tolent to build first homes at £400m Leeds scheme

Builder gets foot in the door with prototype homes for Kirkstall Forge
5 days ago

Interserve subcontractors told it’s business as usual

Outsourcers circle Interserve support services division
6 days ago

Morgan Sindall wins 20-year Sellafield civils deal

Four teams named for Sellafield decommissioning project partnership
6 days ago

Contractor services