SME late payments deal to be struck

Summit to take place today to lay down code for prompt payments

SMEs' cashflow problems could be eased today, as the government and some of the UK’s largest companies meet to discuss speeding up late payments.

During a summit in London this afternoon, Business Secretary Peter Mandelson will set out a code for prompt payments, laying down guidelines for companies when paying SMEs.

An ongoing concern of SMEs, the issue of late payments was raised by the Forum of Private Business (FPB) in September when it urged the government to lead by example and pay its own suppliers on time.
The FPB wrote to the Secretary of State for communities and local government, Hazel Blears, to bring the issue to her attention.