Falkirk plumbing boss leads bid to crack down on late payers

SEC Group, which also includes electrical contractors, is campaigning for legislation to bring an end to late payments, mandate the use of project bank accounts and protect cash retentions.

Gordon Matheson of Matheson Plumbing Company is a former president of the Scottish and Northern Ireland Plumbing Employers’ Federation (SNIPEF), and will now become chairman of the Specialist Engineering Contractors’ (SEC) Group Scotland.

Mr Matheson said: “This is the biggest issue affecting the operation of any company – but particularly sub-contractors – in the construction industry.

“Think about it like this - what other businesses offer unsecured credit at such high values?

“Owners of these firms need to lobby their MPs and MSPs to make them aware of the strain that payment abuse places on individual businesses and the industry as a whole.

“SEC Group Scotland is here to help – one of my primary goals in my new role will be to achieve statutory protection of retention monies and legislate for all contractors to pay within 30 days.”

He says his long-established Falkirk firm (whose clients include Historic Environment Scotland) is not as badly affected as some by payment abuse, mainly because it carries out credit checks on all contractors before accepting any work - but says it is a major problem in the plumbing trade and the wider specialist engineering sector.

Gordon, (58), founded his own business in 1992 after several years working for his father and grandfather in the plumbing trade.

The Scottish Government is currently carrying out an industry consultation on the abuse of retention payments in the sector.