Big UK companies to be forced to reveal how long they take to pay suppliers

https://www.ft.com/content/7c6b2078-c2cb-4d92-afd3-1d5d8ccf999b

Posted by pppppppppppppppppd

10 comments

  2. Not sure what the purpose is.

    For example, all the big house developers routinely delay payments to harm subbies and suppliers. I’ve seen firms with high costs be intentionally bankrupted by developers on many occasions.

    They need to be forced to pay up, not just shamed.

  3. Great.

    Can we make sure the public sector pays on time too, looking squarely at you *NHS trusts*.

  4. Not sure what this will achieve, though I have to say as a somewhat regular contractor to large consultancy companies who unfortunately dominate my industry, many of them really try to screw their subcontractors. Paying past the deadline, trying to argue terms of the contract weren’t met, and all those things.

    Thankfully, my accountant is like a rabid dog when it comes to late payments, and is more than happy to slap on any interest on any invoice paid more than an hour late.

  6. I remember my dad being stressed to the eyeballs because of cash flow trouble due to a company not paying him on time for his subcontract work for them, repeatedly. He was still paying his workers and for materials etc, so he was stuck in the middle and struggling to pay for us to live.

  7. Payment terms can be negotiated. There is no reason why a company should have extended payment window. They either can afford the contract or they can’t.

    And remember people… 8% above the banks rate is what you can charge on late invoice payments.

  8. Petrofac be like : “we’ve got to pay our suppliers?”

  9. There was one company that I worked with who’d not pay us for 150 days but also if you didn’t submit the invoice (or they didn’t register you had more to the point) within like 30 days they’d just refuse to pay it at all.

    And you couldn’t avoid them in the industry really either.

  10. We sell food direct from our farm to farm shops / country stores.

    Imagine the poshest farms shops in the country not paying you for months.

    That happens. Frequently.

    It’s not just the big firms that are bad payers.

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