Stuttering Starmer Abandoned In Kings Speech

There wasn’t anything very much for the average window installer or fabricator to get excited about in the King’s Speech as Charles III opened Parliament. There wasn’t even a mention of 1.5 million new homes.

No, the promise by the Labour Party at the last national government elections to ensure 1.5 million new homes would be built in its first term is likely to be shoved onto the scrap heap of Sir Keir Starmer’s likely departure, with no incoming leader able to commit to what looks like an impossible objective.

Living standards

The King did say: “My Government believes that the United Kingdom’s economic security depends on raising living standards in every part of the United Kingdom. My Ministers will support measures that maintain stability and control the cost of living. They will use public investment to shape markets and attract further private investment. They will deploy the power of an active State in partnership with business and enable reforms that support higher growth and a fair deal for working people.” But there were no bones on how this might be achieved.

The King did acknowledge a return to better trading relationships with Europe as he announced that the European Partnership Bill would be drafted.

The Northern Powerhouse Rail Bill will also get an outing. If it will do any better than similar Bills introduced by successive Conservative governments remains to be seen – but business confidence indicators would not score the likelihood highly. According to the BBC immediately after the King had spoken, the Bill will be intended to ‘allocate £45bn to be invested in major improvements to rail services between key cities in the north of England. It will be carried out in three stages. Firstly, there will be electrification and other improvements on routes between Leeds and Bradford, as well as Sheffield and York. Then, there will be a new high-speed route between Liverpool and Manchester via Warrington and Manchester Airport. Thirdly, the government is promising better cross-Pennine links, over and above the improvements that are already under way’.

Clamp down on late payers

The biggest announcement for small businesses was probably the Small Business Protections (Late Payments) Bill.

The measures will tackle a problem costing the UK economy £11 billion every year and ease the cost of living for entrepreneurs and SME owners who are often forced to wait months or even years to receive money they have already earned and having to chase endlessly to receive it.

The Small Business Commissioner will be given sweeping new powers to investigate poor payment practices, adjudicate payment disputes and fine the worst offenders.

Some 38 businesses shut their doors every single day because they are not paid on time – that’s well over a thousand in any given month. Every small business owner, including tradespeople, freelancers, family firms and the self-employed will soon, it is hoped, find some form of protection not really effectively enshrined in the 1998 Late Payment of Commercial Debt Act.

The proposed changes will include a new 60-day cap on payment terms on all large firms when paying smaller suppliers. New mandatory interest on late payments will also be introduced, with a requirement for all commercial contracts to include statutory interest set at 8% above the Bank of England base rate.  

For example, if a small business is owed £10,000 by one of its customers and is paid 60 days later than the agreed payment date, they will be owed £10,293.15 including mandatory interest (£10,000 plus £193.15 interest plus £100 compensation).

Unfortunately, the legislation is aimed at business to business transaction and not at late paying domestic consumer customers.

Construction retentions

It is also proposed to ban the withholding of retention payments under the terms of construction contracts.

Business Secretary Peter Kyle said: “We implement the strongest, most robust changes to payment laws in over a generation. After working closely with the Federation of Small Businesses, boards or audit committees of persistently late-paying large companies will be required to publish explanations for poor payment performance and the actions they are taking to address it.”

Federation of Small Businesses

FSB Policy Chair Tina McKenzie said: “Late payments are a blight on our economy.  The new laws will finally bring a stop to big businesses using their small suppliers as sources of free credit.

Minister for Small Business and Economic Transformation, Blair McDougall said:  “I know first-hand how difficult late payments can be, forcing you to decide if you can afford to keep a business running, pay employees or even buy Christmas presents for your children. That is why I’m proud to be leading the charge on tackling a problem that has been left untouched for far too long. 

“These are genuinely game changing measures that will ensure no business, no employer, no family has to endure the immense strain of being left strapped for cash they have already earnt.”

Emma Jones CBE, Small Business Commissioner said:

“We are on a mission to make life easier for small firms by getting money moving faster through the economy by tackling late payments. These reforms will reduce the hours spent chasing debt allowing small businesses to focus on more productive and enjoyable growth.

“Right now, some small businesses have more cash in the bank because the Small Business Commissioner recovered three times more overdue invoices in 2025 than in 2024. We will bring this benefit to the whole economy.”

Regulating for Growth Bill

According to the BBC, this Bill if voted through would ‘introduce a clear, statutory mandate for regulators such as the Environment Agency, Natural England and the Health & Safety Executive to prioritise economic growth and investment, without abandoning their core safety or environmental responsibilities. The bill authorises ‘sandboxes’ that allow businesses to temporarily operate with relaxed rules to test new products and technologies safely’.

The Building Remediation Bill – cladding deadlines set

A Remediation Bill, first muted in July 2024, is also being brought forward to make sure that landlords are held to account for fixing unsafe cladding and to tackle the slow pace of action across the sector. The legislation, if passed, will require landlords of buildings 18m or more in height with unsafe cladding to complete remediation by the end of 2029, and landlords of buildings 11-18m in height to complete remediation by the end of 2031. 

Those who fail to comply without reasonable excuse could face unlimited fines or imprisonment. New legislation will also give named bodies, such as Homes England and local authorities, powers to remediate buildings with unsafe cladding if the landlord fails to do so.

Removing the type of cladding found at Grenfell and the type of insulation that has been mis-fitted and is now causing mould to grow in homes all across England and Wales, is a move that might present installers with a new business opportunity.

Meanwhile, hanging your hopes of manufacturing or installing windows and doors in 1.5 million new homes, is not the way to go about forward business planning.

Picture with thanks: King Charles lll provided free for editorial use by

www.pmc.gov.au/government/head-of-state/official-australian-portraits