Tradespeople Report 53% Rise in Late Payments Amid Cost of Living

AI Summary

A survey by Direct Line Group revealed that over 53% of tradespeople have experienced an increase in late payments compared to the previous year, indicating a significant cash flow issue within the sector. Additionally, 68% of respondents are currently chasing late payments, with an average of £1,646 in unpaid invoices written off. Tradespeople are adapting by implementing payment plans and flexible pricing policies to accommodate clients dealing with financial hardships. This trend reflects broader economic pressures and may impact the operational stability of trades businesses as they navigate rising costs and diminished cash flow.