When can a subcontractor suspend work for non-payment?

Where a sum is due and has not been paid in full by the final date for payment, you can suspend performance after giving the payer at least 7 days' notice of your intention. It is a serious step, so take specialist advice for your contract first.

Can I charge interest to a main contractor?

Between businesses the Late Payment of Commercial Debts (Interest) Act 1998 allows 8% above the Bank of England reference rate plus fixed compensation, unless your contract sets its own late payment remedy.

Should I chase by phone or by email?

Written reminders create a dated record and keep the tone factual. Nemexio sends them from your company and keeps the history, and you can still phone the accounts contact whenever you want to.

Does Nemexio chase in my name?

Yes. Customers see your business, not a debt collector, and you approve the wording before anything is sent.

For subcontractors

Invoice chasing for subcontractors, without the awkward calls

Main contractors pay faster when they are asked the right way at the right time. Nemexio gives subcontractors a documented chasing routine that quotes the contract and the law, job by job.

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The problem

What slows you down

Waiting on the client's money

Payment that depends on the main contractor being paid first is a familiar delay. The Act generally stops that kind of condition, so you can chase on your own dates.

Notices that never arrive

No payment notice by the deadline, or a pay less notice that turns up late, changes your position. You need the dates written down, not remembered.

Fear of losing the next job

Phone calls feel confrontational. Written, factual reminders from your company keep a record and keep the tone neutral.

What the Act gives you when you are chasing

Defaults under the Housing Grants, Construction and Regeneration Act 1996 and the Scheme. Check your contract for its own periods.

If the payer does not give a payment notice in time, you can give your own payee's notice in default setting out the sum you consider due ^[1].
If no valid pay less notice follows, the notified sum must be paid in full by the final date for payment ^[2].
A clause making your payment conditional on the main contractor being paid by the client is generally ineffective, except where the client is insolvent ^[3].
If you are not paid in full by the final date you may suspend performance after at least 7 days' notice of intention to suspend ^[4].
Either party can refer a payment dispute to adjudication at any time, with a decision due within 28 days ^[5].
Between businesses, late sums carry 8% above the Bank of England reference rate plus £40, £70 or £100 fixed compensation per invoice ^[6]^[7].

How it works

A chasing routine that escalates in stages

Record the application

Log the application date, the contract type and the payer. Nemexio calculates the notice and final payment dates for you.

Watch for the payment notice

If none arrives by the deadline, Nemexio flags it and the reminder says which notice is missing and when it was due.

Send a factual reminder after the final date

Invoice, amount, due date and a secure payment link, in your name. Follow-ups go out at the gap you choose, and grouped per payer.

Mention the interest as information

Business reminders can state the statutory interest building up without adding anything to the invoice.

Decide on suspension or adjudication yourself

These are your decisions, taken with advice. Nemexio keeps the dated record of every reminder you can rely on if you take that step.

Example wording

What the reminder looks like

A first reminder after the final date

Subject: Application 14, Mill Lane Phase 2: payment overdue

Dear Sam, Application 14 for £18,450.00 was due for payment on 3 October and we have not yet received it. Could you confirm the date payment will be made, or send a copy of any notice that has been issued? Account name: [Your company] Sort code: 00-00-00 Account number: 00000000 Reference: APP-14 Kind regards, [Your name]

How Nemexio helps

The features you'll use most.

Construction Act deadlines

Notice clocks and alerts on missing notices.

Automatic reminders

Escalating, factual and sent in your name.

Retention register

Never lose track of what is held.

Guides behind this page

Construction Act

Payment Notices and Pay Less Notices: the Construction Act deadlines that decide who gets paid

How the Construction Act Payment Notice (5 days) and Pay Less Notice (7 days) deadlines work, what happens when a payer misses them, and how the notified sum becomes payable in full.

25 Sep 2026 · 6 min read

Construction Act

Construction adjudication: a binding decision on a payment dispute in 28 days

Under section 108 of the Construction Act, either party to a construction contract can refer a dispute to adjudication at any time and get a decision within 28 days. How it works, who it covers and the right to suspend work.

25 Sep 2026 · 5 min read

Credit control

Check how long a large company takes to pay its suppliers before you sign

Large UK companies must publish how quickly they pay suppliers. How to use the government's payment practices service and Companies House to check a customer before you take on the work.