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Fair payment

Skanska is committed to applying fair and transparent payment terms for our supply chain.

The payment charter and prompt payment code

We support the Construction Supply Chain Payment Charter and Prompt Payment Code, demonstrating our commitment to fair payment. We strongly believe that fair and transparent payment is essential to our supply chain partner relationships and the delivery of successful projects.

Better together

Our diverse supply chain provides us with innovative ways of working. It also allows us to maintain capacity in a growing construction market. We recognise that prompt payment maintains cash flow and provides confidence, helping to secure investment and jobs.

We've standardised payment terms with our supply chain partners. We continue to work hard to deliver on our payment commitments and we are determined to improve further.

We are doing this in a variety of ways:

  • Continuously analysing supply chain payment performance as part of our regular finance reviews
  • Introducing electronic solutions to improve timely receipt of Goods Received Notes
  • Transitioning to full electronic invoicing in 2021

Our payment terms

Our standard payment terms are 30 days following the month in which the invoice or application was presented. In certain circumstances, this is reduced to 30 days from receipt of invoice.

Payment performance reporting

We report our payment performance every six months, in line with legislative requirements. A summary of the latest reports for Skanska UK’s relevant legal entities is published below.

Cementation Skanska
(Registered company number: 00937574)

Average time taken to pay invoices

57 days

Invoices paid within 30 days

48%

Invoices paid in 31 to 60 days

44%

Invoices paid in 61 days or more

8%

Invoices due but not paid within agreed terms

11%

Skanska Construction UK
(Registered company number: 191408)

Average time taken to pay invoices

39 days

Invoices paid within 30 days

45%

Invoices paid in 31 to 60 days

46%

Invoices paid in 61 days or more

9%

Invoices due but not paid within agreed terms

9%

Skanska UK Plc
(Registered company number: 00784752)

Average time taken to pay invoices

67 days

Invoices paid within 30 days

33%

Invoices paid in 31 to 60 days

40%

Invoices paid in 61 days or more

27%

Invoices due but not paid within agreed terms

25%

Skanska Rashleigh Weatherfoil
(Registered company number: 00798550)

Average time taken to pay invoices

57 days

Invoices paid within 30 days

36%

Invoices paid in 31 to 60 days

49%

Invoices paid in 61 days or more

14%

Invoices due but not paid within agreed terms

13%

Full reports are published on the GOV.UK website

Last updated: 25/03/2019