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The government must lead by example and commit to both faster payment terms and direct payments to subcontractors, RIBA has told the chancellor.

In a letter to Rishi Sunak this week, Alan Vallance, chief executive of the architects鈥� institute, said the government was a major construction client.

He demanded action from ministers in three main areas: cash flow, planning and keeping sites open.

The ability of the sector to keep working was vitally important, he said, and since two-thirds of materials were imported, customs clearance processes must be maintained.

鈥淭he understandable prioritisation of essential medical and food supplies [must] not lead to delays elsewhere,鈥� he said.

Cash flow was architects鈥� most pressing and immediate source of concern, he added, with the Treasury needing to consider a range of measures that allow businesses to prioritise their day-to-day financial transactions.

鈥淪ome of this is relatively straightforward: the immediate deferral of PAYE, VAT and business rate payments, clear guidance on how to access loans and the timescales for how long they can expect to wait for decisions and funds,鈥� said Vallance.

鈥淏ut this isn鈥檛 going to be enough. Government needs to pull together a joined-up response.

鈥滱s a major client in the construction sector it must commit to faster payment terms and direct payment to subcontractors on public contracts.

鈥漌e also think a government-backed low/no cost factoring facility for private contracts would be of great benefit given the wider uncertainty in the market.鈥�

Firms also needed access to cash to invest immediately in home-working technology.

Vallance (pictured) said his third priority was keeping the 鈥渂usiness of architects [going] as far as is possible and safe鈥�, with the continuance of planning of vital importance.

鈥淭he ability of local authorities to carry out their duties while ensuring the health and safety of their staff and local communities will require additional support and flexibility from the Treasury and MHCLG,鈥� he said.

鈥淎dditional short and medium-term funding to cover staff absences will be essential.

鈥淲e also think there is a need to look at the practical operation of the system under these circumstances.

鈥漈his could mean the relaxation of time limits for planning applications to allow local authorities to prioritise cases to reflect health and safety considerations and the nature of requests, and waivers to allow the deferral of requirements for information if planning officers judge a request to be of low or no impact.鈥�