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KIER CONSTRUCTION LIMITED

Company number: 02099533

Reporting period:
1 January 2023 to 30 June 2023


This information is as reported by the business, and responses are in their own words.

This report was filed on 28 July 2023

and approved by Marcus Jones

Payment statistics

Average time taken to pay invoices: 32 days

Invoices paid:

  • within 30 days: 55%
  • in 31 to 60 days: 36%
  • in 61 days or more: 9%

Invoices due but not paid within agreed terms: 27%

Payment terms

Shortest standard payment periods

7 days

Longest standard payment period

Answer not provided

Standard payment terms

Payment terms are agreed with suppliers and subcontractors as part of contract negotiations and aligned with relevant codes to ensure compliance. Terms vary from 7 days from invoice received date (IRD) to 60 days from IRD; the most common payment term is 60 days from IRD.

Were there any changes to the standard payment terms in the reporting period?

Answer not provided

Were suppliers notified or consulted about these changes before they were made?

N/A

Maximum contractual payment period agreed

60 days

No further comment provided

Any other information about payment terms

Kier Construction Limited is a proud signatory of the Prompt Payment Code and committed to meeting the targets and guidance provided as part of this Code. Kier Construction Limited has invested significant resource in governance, systems and process improvements to improve payment to terms of its valued supply chain partners. Per guidance from the Prompt Payment Code, Kier Construction Limited is committed to payment of all compliant invoices provided by suppliers deemed small companies (having less than 50 employees) within 30 days; these also form part of Kier Construction Limited commitments to the frameworks and contracts entered into where standard payment terms are 30 days or less. Changes have been made to core systems to identify companies within this category for Code reporting purposes while management focus continues on improving payment experiences for all suppliers.

Dispute resolution process

Kier Construction is a strong advocate of fair treatment for all supply chain partners and constantly strives to improve transparency, increase certainty of payment and in reduce time to pay. We are working hard to simplify internal processes and approvals, towards minimising time to pay for our supply chain partners; we are also working with those supply chain partners to inform and upskill where required towards right first time invoicing to avoid payment delays. Where they happen, Kier Construction actively seeks to resolve disputes as quickly as possible, through close interaction with suppliers; in the interests of fair treatment for all supply chain partners, dispute resolution is treated as a priority. Typically, these issues can be resolved through coordination between our payables teams and supplier credit control teams within an agreed process for dealing with disputes which is communicated to suppliers, and where necessary procurement and commercial teams are engaged to support the earliest commercial resolution; where resolution is still unable to be achieved, senior management will be engaged towards the swiftest possible conclusion. Where agreement cannot be reached to the mutual satisfaction of both parties, other dispute resolution channels will be deployed, such as mediation, arbitration and expert determination.

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 Prompt Payment Code must commit to paying 95% of their invoices within 60 days.

Yes, this business has signed up to: Prompt 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.

Yes

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