John Baron MP welcomes reforms to Prompt Payment Code

MP: reforms will help small businesses

Today the Government has announced reforms to the Prompt Payment Code, to crack down on delayed invoices owed to small businesses, and providing them with further protections. These reforms will ensure that small businesses get paid on time by larger companies – the period outlined in the current Code has been halved, meaning companies that have signed up to the PPC will have to pay small businesses within 30 days. Business owners, finance directors or CEOs will have to take responsibility in acknowledging that suppliers can charge interest on late invoices and that breaches will be investigated.

John said,

“I welcome these positive changes to the Prompt Payment Code. These reforms will help to relieve some of the pressure on small businesses, which form the backbone of our economy, and will provide more assurance and further protections for the jobs and growth that spring from them.”