Lloyds Bank has joined forces with ProjectPay to help tackle missed and delayed payments in construction supply chains.
ProjectPay's SaaS building and construction payment platform promises to help all levels of the supply chain get paid at the same time, removing contractors’ insolvency risk, speeding up payments to contractors and tradespeople and improving cashflow.
Project accounts can be made available as soon as a project is created on the platform, without contractors having to wait weeks or months for bank accounts to be set up.
The process is smoothed by three Lloyds APIs: The bank's PayFrom API lets contractors deposit funds to ProjectPay’s platform instantly. The Event Driven Notification API then notifies stakeholders within the project supply chain that funds have been lodged in the account, ready for distribution.
Then, once Applications For Payments are processed, Lloyds' PayTo API gives all owed parties direct and immediate access to payment.
Steve Everett, head, payments and receivables, client products, Lloyds Bank Commercial Banking, says: “Greater digitisation is critical if UK construction is to overcome the issue of late payments.
“The solution we’ve developed with ProjectPay uses API technology to give businesses at every stage of a construction project’s supply chain confidence that they will be paid quickly and securely for their work."