Subcontractor Quill Construction claims Kier owes £230k

A subcontractor is claiming to be still owed more than £200,000 by Kier, months after pulling out of the supply chain for council work because of problems over payment.

Quill Construction told CJ that it stopped doing refurb and maintenance work for Harlow Council in April because of its poor relationship with Kier, which formed the Kier Harlow Joint Venture Company with the council in February 2007.

Quill director Dean Johnston said his firm hit payment problems shortly after Kier was brought in. He said: "It seemed from day one that we were a bit of a thorn in their side. We decided this year that we couldn't carry on any further - we weren't getting paid and we were just getting the rough end of the stick everywhere. It has been such a struggle getting our money."

Quill claimed his firm, which has an annual turnover of £3m, was owed £650,000 by Kier at one point, but this has since dropped to around £230,000.

He said: "Payment from Harlow Council was slow, but to be honest we could live with it. We could go direct to someone from Harlow Council and within a fortnight we'd get a substantial amount of it."

A Kier spokeswoman said: "We have a duty to act in the best interest of Harlow Council, its council tax payers and tenants to ensure that the correct rates are paid for works carried out on their behalf.

"Any issues between Kier Harlow and Quill Construction are being dealt with, subject to contractual obligations with Harlow District Council, with a view to being resolved directly through the parties concerned."