BIFIS welcomes renewed attention on rogue traders but warns milestone payment proposals must protect legitimate small businesses and industry cashflow, following initial member feedback.
The British Institute of Fitted Interiors Specialists (BIFIS) has welcomed the Prime Minister’s recognition that rogue traders damage consumers, communities and the reputation of responsible businesses across the construction, refurbishment and home improvement sectors. However, BIFIS has cautioned that the proposed payment measures risk being one-sided unless they also protect bona fide tradespeople, specialist installers and small businesses from delayed cashflow, unfair withholding of funds and additional administrative burden.
The Government has announced a government-supported Approved Code scheme to help householders identify trusted traders, alongside a new trusted payments system in which customer funds would be released in stages as agreed project milestones are completed. Announcing the plans, Prime Minister Andy Burnham said: “Cowboy builders don’t just rip people off. They leave families with months of stress, the disruption of unfinished work, and that horrible feeling of being taken advantage of. Not only that, but they give the vast majority of decent, hardworking tradespeople a bad name. So, we’re putting the cowboys out of business. These changes mean you’ll now have the option to make sure your money is held safely and released bit by bit as the work gets done.”
BIFIS supports firm action against rogue operators and recognises the need to rebuild consumer confidence where poor workmanship, abandoned projects and unfair practices have harmed homeowners. But the institute believes any national reform must be designed with the responsible majority of the industry, including sole traders, microbusinesses, specialist installers, independent retailers and regional contractors, not imposed upon them without meaningful consultation.
Damian Walters, Chief Executive Officer of BIFIS, said: “We welcome the fact that the Prime Minister is paying attention to an issue that has affected both consumers and reputable tradespeople for far too long. Rogue traders cause real harm, and they also undermine the many skilled professionals who work hard, invest in their businesses and deliver quality outcomes for customers every day.”
“However, the current proposals appear heavily weighted towards the consumer payment journey, without enough recognition of how construction and refurbishment projects are actually delivered on the ground. Payments are not simply profit; they fund materials, labour, subcontractors, insurance, compliance costs and the day-to-day cashflow that keeps small businesses alive. If money can be held back without clear safeguards, independent tradespeople could be left carrying all the risk while still being expected to deliver the work.”
Walters continued: “It is disappointing that trade associations representing the tradespeople and businesses most affected by these proposals do not appear to have been properly consulted before the announcement was made. If the Government is serious about driving out cowboy builders while supporting professional standards, it must work with organisations that understand the realities of running a legitimate trade business.”
“BIFIS stands ready to engage constructively with the Prime Minister, ministers and officials to help design a fair system, one that protects consumers, rewards competence, supports good businesses and ensures that cashflow protections operate both ways.”
BIFIS is calling for any trusted payments framework to include clear safeguards for bona fide tradespeople, including transparent milestone definitions, prompt dispute resolution, protection against unreasonable non-payment, recognition of upfront material costs, and proportionate administrative requirements for small and microbusinesses.
The institute also believes payment reform should be linked to a wider competence and standards agenda, including stronger signposting to professional registration, recognised industry led codes, training pathways and truly independent dispute resolution. BIFIS has long argued that consumer protection and trade protection should not be seen as competing priorities: both are essential if the UK is to raise standards and restore confidence in home improvement, refurbishment and fitted interiors work.
EDUCATION | STANDARDS | SUSTAINABILITY | COMPLIANCE |
