Philip Hammond, the Chancellor, and Business Secretary Greg Clark convened a roundtable, alongside the Federation of Small Businesses, with several major business leaders to discuss the need to speed up the payments to small suppliers by larger companies.
In the past year, Capita has sought to take a lead on this issue, placing better treatment of suppliers at the heart of its transformation programme. Last month, the company produced its first ever suppliers’ charter, setting out clear commitments to its 35,000 suppliers.
While meeting the Government’s Prompt Payment Code, the company also updated its supplier payment terms last October, committing to pay micro businesses (with fewer than 50 employees) within 14 days and SMEs (fewer than 250 employees) within 30 days.
Speaking after the Downing Street roundtable, Jon Lewis said: “Treating our suppliers well – including paying them promptly – should be more than a simply an aspiration.
“It should be fundamental to how large companies behave, demonstrating their commitment to the society in which they operate and the suppliers who help them deliver.
“I’m pleased both the Chancellor and Business Secretary have taken a lead on this area alongside the Federation of Small Businesses. We need to keep making progress – and Capita will be at the heart of that effort.”