Lack of prompt payment is one of the most significant issues in the construction sector. When contractors don’t get paid on time, it places a financial burden on small businesses and blocks cash flow in the economy. The estimated cost in BC’s construction sector is $4 Billion, mostly due to risk premiums, interest charges, and legal fees. This doesn’t include the cost of shuttered business and other losses.

Solving the prompt payment challenge in BC will release millions of dollars into the economy and improve cash flow for everyday British Columbians across our province. In particular, it will help small contractors (the backbone of our industry) to pay their staff and their bills and manage their business without taking on extra debt and financial expenses. When contractors can’t rely on payments, they can’t invest in training or innovation.

At BCCA, we’re working with industry stakeholders to urge the provincial government to introduce legislation immediately.