Birmingham-based fintech Saible has secured £2.9 million in funding to advance its payment platform for the construction industry. The technology is designed to combat the pervasive issue of late payments by ensuring funds are distributed simultaneously to all suppliers in the chain. This investment arrives as the sector faces increasing pressure from legislative reforms aimed at protecting smaller businesses from financial distress.
Tackling a Multi-Billion Pound Industry Crisis
The UK construction industry is plagued by a late payment culture that costs the economy an estimated £11 billion annually. This systemic issue creates a cascade effect where funds are delayed at each tier of the supply chain, often used as free working capital. Consequently, construction has seen more insolvencies than any other UK sector for four consecutive years, with 4,450 firms failing in 2025.
The financial strain falls most heavily on small and medium-sized enterprises, which form the backbone of the industry's workforce. Research indicates that 93% of construction firms experience late payments, with invoices averaging 53 days overdue, pushing many to the brink of collapse. This instability leads to job losses, missed payrolls, and immense personal pressure on business owners trying to stay afloat.
Innovating the Flow of Project Funds
Saible's solution, the Digital Parallel Payment Account, fundamentally redesigns how money moves through a project. Instead of a sequential cascade, project funds are held in a trust account with regulated banking partner Griffin. Once work is verified, payments are released directly and simultaneously to every approved supplier, regardless of their position in the supply chain.
This model distinguishes Saible from other fintech solutions that typically focus on digitizing invoicing or offering credit lines. The company charges project owners a 0.25% fee on the payment value, while the service remains free for all suppliers. This approach aims to provide transparency and security, ensuring that money intended for work completed reaches its destination without delay.
Piloting the Future of Construction Payments
The company is already testing its technology in a real-world setting through a public-sector pilot with the Environment Agency and contractor BAM Nuttall. The project involves a footbridge replacement valued between £1.5 million and £2 million, set to commence in summer 2026. This trial is intended to generate crucial data to inform wider public-sector payment reforms and demonstrate the platform's effectiveness.
This initiative aligns with growing legislative momentum, including the Commercial Payments Bill, which seeks to ban retention payments and cap payment terms. Phil Brown, an investor and founder of rival firm Causeway Technologies, noted that Saible offers a practical way to protect the entire supply chain. The new funding will support further pilots and the expansion of the platform's capabilities.
With its £2.9 million in new capital, Saible is positioned to scale its innovative solution for a deeply entrenched industry problem. The company is also opening a small allocation on Crowdcube to allow industry participants to invest in its mission. Saible's ultimate test will be to prove that its technological infrastructure can succeed in ensuring fair and prompt payment where policy alone has often fallen short.