The Enquirer understands that some firms have even threatened to “rip-up tarmac” they have laid.
CityFibre is bringing high speed internet to the city with its major fibre optic installation scheme set to be mainly completed by 2025 after starting last year.
Nottingham based McCann Construction is main contractor on the job.
A spokesperson from McCann said: “We are unable to comment on this specific matter. However, we would like to stress that J McCann takes its payment and contractual obligations very seriously and would never intentionally withhold payment for any works that have been completed in accordance with the terms of our agreement without firm legal justification.
“As can be expected for a project of this size, there will be contractual issues with some of our supply chain, but we continue to work through these in an open and collaborative spirit to ensure that our supply chain partners receive the correct payments as they fall due.”