April 2029 might sound a long way off, but for construction, the UK government’s e-Invoicing mandate is already looming large.
That was the clear message from our recent webinar, hosted by broadcaster Juliette Foster and joined by industry voices Joe Sellwood (Amey), Ellen Leith (Purchase to Pay Network) and Tim Cole (Causeway Technologies). Together, the panel tackled a question many construction finance leaders are quietly asking: is the sector genuinely ready – and are we thinking big enough about what this change really means?
From April 2029, every VAT registered UK business will need to be able to send and receive electronic invoices for both B2B and B2G transactions. The government’s aim is clear: faster payments, better cash flow, reduced fraud and a more productive economy overall.
With late payments estimated to cost the UK economy £11 billion a year, and businesses losing an average of 86 hours annually chasing invoices, e-Invoicing is being positioned as a structural fix – not a technical tweak.
For an industry defined by long payment cycles, fragmented supply chains and deeply ingrained processes, the impact will be significant.
For Joe Sellwood, e-Invoicing isn’t theoretical. At Amey, it’s been a 12 year transformation journey.
He recalled the early days vividly – literal milk crates of paper invoices arriving daily – and contrasted that with today’s reality: real time visibility, vastly improved first time match rates and far stronger supplier relationships.
“e-Invoicing is the fundamental building block for improving payment performance. Invoices don’t go missing. Everyone can see where they stand.”
That visibility translated directly into measurable outcomes. Amey’s first time match rate has increased from around 15% to 70%, while invoice processing times have dropped from 12 days to just two. Just as importantly, Joe stressed, it’s helped align procurement, commercial and finance teams around a single version of the truth.
Joe talks about the journey with e-Invoicing and the importance it's played in improving Amey's relationship with its supply chain:
While cost and efficiency savings often dominate the e-Invoicing conversation, visibility emerged as the session’s most consistent theme.
Tim Cole admitted it was something even seasoned technologists underestimated early on.
“What buyers and suppliers valued first wasn’t automation – it was simply knowing the invoice had arrived, passed validation and wasn’t going to disappear.”
For Ellen Leith, that visibility is transformational at every level of the supply chain. Without it, businesses struggle to manage cash, forecast accurately or plan for growth. With it, confidence improves – and confidence changes behaviour.
Crucially, that same visibility removes a long standing source of friction in construction: disputes over receipt dates, approval status and responsibility for delays.
Tim Cole talks about how visibility was an early value that even he overlooked:
The discussion naturally turned to the Fair Payment Code and the wider push toward 30 day payment terms.
The panel was united on one point: e-Invoicing doesn’t force good behaviour – but it removes the excuses that allow poor behaviour to persist.
By creating a transparent, verifiable record of when invoices are received, approved and paid, e-Invoicing supports fair payment in a way paper and PDFs never could. As Joe put it, it creates a level playing field.
Tim added an important caveat: platforms can provide transparency and evidence – but they can’t physically press the “pay” button. Accountability still sits with the business.
That distinction sparked one of the webinar’s most provocative moments, when an audience member accused buyers of “hiding behind the system”. The panel’s response was firm: true digital visibility makes hiding harder, not easier.
On the surface, the consensus was yes – but with conditions.
Three years is enough time, the panel argued, if businesses start now. Waiting for final government guidance before acting would be a mistake, especially given construction’s complexity around applications for payment, certifications and subcontractor workflows.
Ellen was particularly emphatic:
“This was announced at Budget. It will happen. April 2029 is a stake in the ground.”
Tim acknowledged there are still unanswered questions – especially around how construction specific practices like applications for payment will be treated under the mandate. Those conversations with HMRC are ongoing. But uncertainty isn’t a reason for inaction.
One of the most sensitive topics was the impact on SMEs.
Would smaller suppliers struggle with onboarding costs? Would tier ones end up carrying the burden of compliance?
Joe challenged the assumption that cost only flows one way. While there may be upfront investment, he argued the long term benefits – fewer queries, lower admin overheads, faster payment and improved trust – outweigh the initial effort for both sides.
Ellen reinforced the point with international perspective. In countries like Italy, SME resistance was high initially. Today, though, few would choose to return to the old model:
As the session drew to a close, Juliette Foster asked a deceptively simple question:
Is 2029 a compliance task or a business opportunity?
The answers were unequivocal.
Yes, businesses must comply. But reducing e-Invoicing to a regulatory tick box would miss the point entirely. For construction, this is an opportunity to modernise payment practices, rebuild trust across supply chains and improve the sector’s reputation for fairness.
Joe went further, calling it a sector wide opportunity – a chance for construction to finally shed its reputation for slow and unpredictable payment.
Tim summed it up succinctly: compliance may be compulsory, but the competitive advantage is optional – and those who move early will benefit most.
The panel closed by emphasising that the real impact of the UK e‑Invoicing mandate goes far beyond regulatory compliance. Their discussion highlighted a broader opportunity for the construction sector to drive meaningful change in how financial data is managed and used.
e‑Invoicing is about data, not paperwork – the focus is on better data visibility and behaviours, not just digital invoices.
Start now, not in 2029 – real value comes from using the time ahead to rethink financial processes in construction.
Use technology to improve outcomes – the right tools can drive transparency, efficiency and collaboration.
Learn from others’ experience – early starters will be better prepared and gain faster benefits.
Embrace it as progress – e‑Invoicing should be seen as an opportunity, not a disruption.
At Causeway, we work alongside construction organisations at every stage of that journey, helping translate regulatory change into operational value and practical outcomes. Contact us to find out how we can support your financial transformation.