73% of all businesses have suffered late payment over the past years, according to the Federation of Small Businesses (FSB).
The organisation’s survey indicated that 43% of members are currently waiting for between £1 and £4,999. Over the past year, 56% of members have written-off invoices worth between £1 and £9,999 because of non-payment and 6% of members in the construction sector have written off £35,000 or more.
Despite the Conservative-led government’s commitment to pay all invoices to small firms within 10 days, 18% of survey respondents are still being paid late by the public sector.
The FSB is calling on the government to ensure that all public agencies follow the lead of central government and pay all invoices to small firms within 10 days that all contractors that the public sector uses pay their sub-contractors within the same time and that all private sector companies used by the public sector sign up to the Prompt Payment Code.
John Walker, the FSB’s national chairman, said: “There are always going to be companies that pay late