am i being ripped off

He's ripping you off purely for the fact he is accepting 4k cash off you and not paying any VAT on it. If he's that unscrupulous in the way he runs a business (and I use the term lightly) do you really think he's going to give a rats ass about you when it all goes tits up?
 
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If it takes a month then assuming he works 52wks a year and never pays for materials his annual income would be £48,000/yr, well under the VAT threshold. Ripping off the tax man for not paying income tax, yes, VAT not so clear cut at all.
 
Just an idea but how about attaching a fine fishing line to his last wad of untaxed cash and swipe it out of his back pocket as he leaves through the garden gate :?:
Otherwise make sure you are happy with the work and forget about the cost, a bit of overtime it will soon be replaced :D
 

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