NFB warns Government of cash-flow crisis amid continuing construction

April 2, 2020

The National Federation of Builders (NFB) is warning the Government of an impending cash-flow crisis in the construction industry as its members continue to wait to hear when the Government’s Coronavirus Job Retention Scheme (CJRS) will open and be available to make payments.

The Treasury had previously pledged that the portal, set up to support businesses in paying furloughed workers, would open the week beginning 30 March 2020. However, the portal is still not operational and is not scheduled to be so until the end of April, with no date as to when payments will be made.

Richard Beresford, chief executive of the NFB, commented:

“The Government must speed up the opening of the CJRS otherwise those in the construction industry who have had to shut down and furlough staff will face a cash-flow crisis that will lead to closures. At the very least we must have clarity as to when the scheme will become operational and make payments”

The Government’s position is that construction sites can remain open but the NFB is calling on members to take a values-led, risk-managed approach in continuing to operate sites.

Beresford added:

“Construction sites remaining open should have the support of the client and where a site or contractor wishes to suspend construction, the client should support closure and remobilisation costs. No contracting business wants to suspend activity but the safety of staff and their families is paramount.

Where sites wish or need to remain open and operational, they must operate in a safe manner by following Public Health England (PHE) guidance, the Site Operating Procedures (SOP) and ensure the use of Personal Protective Equipment (PPE).”

The warning comes as the NFB joins with industry colleagues in the Construction Leadership Council (CLC), writing to the Prime Minister to set out the urgent action that needs to be taken to ensure the survival of the industry.

National Federation of Builders

The National Federation of Builders is a United Kingdom trade association representing the interests of small and medium-sized building contractors in England and Wales.

You May Also Enjoy

Estate Agent Talk

Selling an Inherited Property in Scotland: A Clear Guide

Selling an inherited property in Scotland can begin only once confirmation, the Scottish equivalent of probate, has been granted by the court. Until that legal authority is in place, the executor cannot complete a sale, so grasping the sequence early saves later frustration. Families who would rather not manage a long marketing process sometimes approach…
Read More →
Breaking News

Breaking Property News 3/9/26

Daily bite-sized proptech and property news in partnership with Proptech-X.   The imminent interest rate hike is going to be a real reckoner for property   When interest rates rise again, Britain’s housing market will discover what it is really worth   Thought Leadership by Andrew Stanton CEO Proptech-PR For more than a decade, Britain’s housing…
Read More →
Breaking News

Tenancy deposit reform overlooks estimated £750m

As the Government considers reforms to England’s tenancy deposit system, The Letting Partnership is warning that one major question remains almost entirely absent from the debate: what happens to tenancy deposits that are never reclaimed? While current discussions have focused on how deposits should be protected in future, namely custodial vs insured schemes, far less attention…
Read More →
Breaking News

Application to offer in 24 hours with new Barclays Fast-Track Remortgage

Barclays launches first-of-its-kind Fast-Track Remortgage, which can provide eligible customers1 a mortgage offer within 24 hours, and completion in as little as five days Research finds those who have switched lenders are twice as likely to find the process difficult compared to those who stayed with their lender (20 per cent vs 10 per cent)…
Read More →
Estate Agent Talk

Mortgage overpayments in a confident market

Financial experts are encouraging homeowners and first-time buyers to take a fresh look at mortgage overpayments as confidence builds in the UK property market and interest rates begin to ease. With major lenders cutting rates, improved loan-to-value options for buyers, and growing optimism in the 2026 market, mortgage overpayments are emerging as a powerful and…
Read More →
Breaking News

House price growth remained subdued in August

UK annual house price growth remained broadly stable in August at 1.6% House prices were up 0.2% month on month Headlines Aug-26 Jul-26‡ Monthly Index* 550.1 549.1 Monthly Change* 0.2% -0.1% Annual Change 1.6% 1.4% Average Price (not seasonally adjusted) £275,465 £276,581 * Seasonally adjusted figure (note that monthly % changes are revised when seasonal…
Read More →