MCLAREN CONSTRUCTION LIMITED
Company number: 05377750
Reporting period:
1 August 2025 to 31 January 2026
Report filed on:
2 June 2026
Approved by:
Andrew McCune
Contracts and payments
Do any of this business's construction contracts with its suppliers include retention clauses? Yes
Payment statistics
Average time taken to pay invoices: 28 days
Total value paid:
- within 30 days: £275,703,317 (60%)
- in 31 to 60 days: £176,466,565 (39%)
- in 61 days or more: £5,372,913 (1%)
Invoices paid:
- within 30 days: 56%
- in 31 to 60 days: 41%
- in 61 days or more: 3%
Late and disputed:
- total value of payments due in the reporting period which have not been paid within the agreed period: £97,606,627
- payments due in the reporting period which have not been paid within the agreed period: 21%
- not made in the reporting period due to a dispute: 8%
Payment terms
Shortest standard payment periods
7 days
Longest standard payment period
42 days
Standard payment terms
Our standard terms vary due to the type of supply and are agreed as part of contract negotiations.
Suppliers are predominantly paid on 30 days from the month end of invoice, whilst key consultants are paid on 7 day terms.
Subcontractors, dependant on contract terms, are paid on 30, 35 or 42 day terms, following the date of assessment
Were there any changes to the standard payment terms in the reporting period?
No
Were suppliers notified or consulted about these changes before they were made?
N/A
Maximum contractual payment period agreed
42 days
No further comment provided
Any other information about payment terms
No further comment provided
Retention clauses
How does this business use retention clauses?
All construction contracts include retention clauses, and retention clauses are included in standard payment terms.
Does this business only use retention clauses in construction contracts above a specific contract sum?
No
Does this business use a standard percentage rate in retention clauses?
Yes: 3%
Does this business apply retention clause practices that are no more onerous than those applied to it on the same project?
Yes:
Where retentions are applied to our supply chain these will be at the same rate as that applied on us by our clients
Releasing money under a retention clause
Process for releasing money this business has deducted or retained under a retention clause
Retentions are usually released 50% at Practical Completion and the remaining 50% at the end of the Making Good Defects period which is traditionally 12 months after reaching Practical Completion
Is the money released in stages?
Yes:
Retentions are usually released 50% at Practical Completion and the remaining 50% at the end of the Making Good Defects period which is traditionally 12 months after reaching Practical Completion
Amount retained from suppliers in the reporting period
Amount retained stated as a percentage of the money retained from this business by its clients
55%
Amount retained stated as a percentage of the total construction payments made by this business
3%
Dispute resolution process
There are two types of disputes:
1. Where the site team have not certified the valuation, the site team are tasked to speak with and resolve any differences with the Supply chain/Sub-contractor directly.
2. Where the site team have certified the works and are satisfied the supplier should be paid, there are instances where the Finance team require additional
information like insurance details, VAT invoice, Self-billing agreements or CIS verification, in which case the Finance team would request and resolve these issues directly with the supplier.
Other payment information
Has this business signed up to a code of conduct or standards on payment practices? If so, which?
For example, signatories to The Fair Payment Code must commit to paying 95% of their invoices within 60 days.
Yes, this business has signed up to: Fair Payment Code
Does this business offer e-invoicing in relation to qualifying contracts?
This is where suppliers can electronically submit and track invoices. It's not just allowing suppliers to email them an invoice.
No
Does this business offer supply chain finance?
This is where a supplier who has submitted an invoice can be paid by a third-party finance provider earlier than the agreed payment date. The business would then pay the finance provider the invoiced sum.
No
Under its payment practices and policies, can this business deduct sums from payments under qualifying contracts as a charge for remaining on a supplier list?
No
During the reporting period, did the business deduct sums from payments as a charge for remaining on a supplier list?
No