Monday 3rd February, 2020
Labour peer Jonathan Mendelsohn, has given the first reading in the House of Lords of the private member’s bill to crack down on late payments.
The bill proposes to bring in fines for persistent late payers, shorten the deadline by which clients must pay suppliers from 60 to 30 days and force all companies with more than 250 staff to comply to the Prompt Payment Code.
Additionally, the role of the Small Business Commissioner will include more power to fine the worst offenders under his remit and provide for a duty on auditors to publish late payment data.
The date for the second reading ‘the general debate on all aspects of the Bill is yet to be confirmed.
The bill was developed by a cross-party group of MPs and peers who discussed it at a meeting in December last year.