Costain has been reinstated to the live Prompt Payment Code list after it previously failed to pay its suppliers in line with the code
The Chartered Institute of Credit Management acknowledged Costain’s real and fast progress to ensure its suppliers were paid in line with the requirements of the Prompt Payment Code.
A Costain spokesperson said: “Costain was an early signatory to the Prompt Payment Code and we have taken action to ensure we comply.
“We are pleased that the implementation of an improvement plan, which included moving all our suppliers onto payment terms of 45 days or less, increasing the frequency of payments and improving our processes, has been successful in meeting the standard required to achieve reinstatement.”
Philip King, chief executive at the Chartered Institute of Credit Management, said: “Costain has not only been able to demonstrate that its payment performance has reached the required standard, but it is also trending upwards. We are delighted that this has led to their reinstatement on the PPC list.”
The PPC sets standards for payment practices and best practice and is administered by the Chartered Institute of Credit Management on behalf of the Department for Business, Energy and Industrial Strategy (BEIS). Compliance with the principles of the Code is monitored and enforced by the PPC Compliance Board. The Code covers prompt payment, as well as wider payment procedures. Signatories agree to pay suppliers within a maximum of 60 days.