Both firms were ousted from the scheme last November for failing to honour their Code commitment to pay 95% of all supplier invoices within 60 days.

Kier Highways was paying 79% of invoices in 60 days and that has now improved to 98%.

Seddon was paying 19% of invoices in 60 days and is now paying 92%.

Interim Small Business Commissioner, Philip King said: “The current pandemic crisis is placing an extraordinary pressure on the cashflow of businesses and it is more important than ever that Code signatories honour their payment practice commitments.

“It is encouraging to see suspended signatories now adhering to the requirements of the Code and being reinstated but the companies who continue to treat their suppliers unfairly remains a concern.”

Andrew Davies, Chief Executive at Kier said: “Working collaboratively with BEIS and the Office of the Small Business Commissioner we are pleased our actions have resulted in this latest progress for Kier Highways.

“Following the reinstatement of other Kier businesses onto the Prompt Payment Code we remain committed to working proactively and in partnership with our suppliers.”