No builders on the 2012 Olympic sites will be allowed to hold payments back from subcontractors pending completion of projects, the Olympic Delivery Authority has confirmed

The ODA said retentions would be outlawed throughout the supply chain, expanding a previous commitment that it would not deduct retentions from main contractors.

Under the deal, the ODA will withhold payment from any of its 鈥淭ier 1鈥� firms that use retentions.

Trevor Hursthouse, chairman of the Specialist Engineering Contractors鈥� Group, said the policy would 鈥渋mmediately benefit the cash flow of SMEs鈥�.

The ODA said it would reserve the right to hold a retention 鈥渂ond鈥� in an independent account.

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