Big firms could be fined for paying suppliers late

The UK government is proposing new measures to tackle the issue of late payments to suppliers by large businesses. According to the government, thousands of businesses fail each year due to delayed invoice payments, which can significantly impact their cash flow and sustainability. The proposed legislation would allow the government to fine large companies that fail to pay their suppliers on time. The fines would be proportionate to the size of the late payments and could potentially reach millions of pounds. Additionally, the government plans to appoint a new "Small Business Commissioner" to help mediate disputes between large firms and their smaller suppliers. The goal of these measures is to promote a fairer business environment and ensure that small and medium-sized enterprises (SMEs) are not disproportionately affected by the late payment practices of their larger clients. The government believes this will help strengthen the UK's small business ecosystem and support economic growth.