Grafted, invoiced, ignored: Two-thirds of tradespeople left chasing late payments

4 min read
  • Over half (53%) of tradespeople say late payments have increased compared to a year ago
  • Over two-thirds (68%) of tradespeople are currently chasing late payments, and almost a quarter (23%) are juggling four or more unpaid invoices at a time
  • The average largest amount written off by tradespeople is £1,646 
  • Nine in 10 (90%) either ask or are considering asking clients for ‘proof of funds’ for larger jobs before starting work

 

Late payments are becoming an increasing problem for UK tradespeople, according to new research1 by Direct Line business insurance, with over half (53%) saying they are experiencing more late payments than a year ago.  

The scale of the problem is stark, with tradespeople owed an average of £2,023 in late payments. Over two-thirds (68%) of tradespeople are currently chasing at least one late payment from their clients. Many are juggling multiple outstanding debts: almost one in four (23%) are currently chasing four or more late payments simultaneously, with 7% chasing six or more.  

Over four in 10 tradespeople (42%) surveyed have been forced to write off debts of over £500 from invoices that were never paid and a fifth (20%) have abandoned chasing invoices of over £1,000. The average largest amount written off by tradespeople is £1,646. 

It’s no surprise that the tradespeople are now taking action to protect themselves. Nearly half (46%) of tradies say that they now ask customers for ‘proof of funds’ before starting larger jobs with a further four in 10 (44%) saying that they are considering doing so. The most common proactive measure is taking half the payment upfront (39%), followed by sending invoices well in advance (29%) and charging late payment fees (26%).  

Mark Summerville, Product Manager at Direct Line business insurance commented: “Late payments are often cited by tradespeople as their biggest problem. When a client fails to pay on time after work is completed, it can create a highly stressful situation. Payment delays disrupt both personal and business finances, affecting the ability to cover bills and manage cash flow for future projects. In some cases, tradespeople feel they have no choice but to write off unpaid invoices, which is not only financially damaging but also deeply demoralising.” 

ENDS

 

Notes to Editors 

  1. Censuswide survey of 500 tradespeople aged 18+ between 21st-25th November 2025. Censuswide abides by and employs members of the Market Research Society and follows the MRS code of conduct and ESOMAR principles. Censuswide is also a member of the British Polling Council. 

For further information, please contact:

Direct Line  
Unni Henry  

Brand Media Relations 
Email: unni.henry@directlinegroup.co.uk

About Direct Line business insurance

Launched in 2007 Direct Line business insurance provides a flexible range of insurance products for the landlord, van and small business sectors and is part of the Aviva Group.   

Customers can find out more about Direct Line business insurance products or get a quote by calling 0345 301 4827 or visiting www.directlineforbusiness.co.uk