Small Business Commissioner

Commissioner congratulates first cohort of Fair Payment Code awardees

  • Over one hundred businesses have received a Fair Payment Code Award so far with more to be announced in the coming months. 
  • The Fair Payment Code is a system of Awards aimed at driving best practice and improving payment performance.   
  • The Fair Payment Code has Gold, Silver and Bronze Award categories underpinned by fair payment principles.  

 

Healthy cash flow is critical for small business survival and growth. Late payments and long payment times disrupt the cash flow cycle and can prevent a business from paying its bills, potentially resulting in business failure. In 2023 15% of small businesses and medium sized enterprises cited cash flow and late payments as an obstacle to running their businesses. 

The Fair Payment Code encourages businesses across the UK to pay fairly and quickly.  Businesses apply for the Award tier which best suits them: Gold, Silver or Bronze. The tiered system of Awards is aimed at driving best practice and improving payment performance. The three tiers are:  

  • Gold Award – for those firms paying at least 95% of all invoices within 30 days  
  • Silver Award – for those paying at least 95% of all invoices within 60 days, including at least 95% of invoices to small businesses within 30 days  
  • Bronze Award – for those paying at least 95% of all invoices within 60 days  

In addition, every business granted an Award agrees to abide by the Code’s principles of being Clear, Fair and Collaborative with their suppliers. 

Businesses will be presented with their awards by the Small Business Commissioner at the Fair Payment Code Awards in London. 

Small Business Commissioner, Liz Barclay said: 

“I am delighted to announce and say a huge Congratulations to the first Fair Payment Code Awardees. Paying suppliers fairly and quickly isn’t as easy as it sounds. For many, significant changes in processes have been required which have been costly but the will to do the right thing has prevailed. Thank you to you all and many congratulations.”