Despite planned spending cuts, more small to medium-sized enterprises (SMEs) could find their bricklaying tools in demand on public sector projects in the months to come.

The Federation of Master Builders (FMB) is calling for better access to public sector contracts for SMEs in light of their substantial contribution to the UK workforce.

Some 60 per cent of jobs and half of the nation's gross domestic product is contributed by SMEs, the FMB says.

Director general Richard Diment says: "If the government wants small businesses to be major players when it comes to private sector growth they need to do more to reach them."

He adds that procurement within the public sector has "for too long" prevented SMEs from having much chance to win contracts.

Now, however, Cabinet Office plans could see more small building firms putting their bricklaying tools to work on government schemes.

That is because at least a quarter of contracts are intended to be given to SMEs, with payments due to be made within 30 days to keep cashflow moving.

Posted by Charlie Parkin