Housebuilder accused by subcontractors of delaying payments to boost cash position ahead of results
The UK’s biggest housebuilder Taylor Wimpey has been accused of deliberately delaying payments to subcontractors to strengthen its cash position ahead of its results.
The company, which like other housebuilders has been hit by plunging sales as a result of the credit crunch, is due to give an update on its half year trading period at the start of July.
It is understood that parts of the business have told suppliers they will not be paid some or all of money owed until after 30 June, when the company’s first half trading period ends.
The Federation of Plastering and Drywall Contractors said that some of its members had been told of the policy, and that it believed that other trades had been told the same.
A Taylor Wimpey spokesperson said: "The company honours all invoice payments and maintains an open dialogue with its supply chain."