The Conservative’s pledges on prompt payment

Since the post on Jeremy Corbyn's speech to the FSB, we have been going through the manifestos looking for information on what the parties might do to enforce or encourage prompt payment practices.

The Conservative manifesto says…

“we will use our buying power to ensure that big contractors comply with the Prompt Payment Code both on government contracts and in their work with others. If they do not do so, they will lose the right to bid for government contracts.”

That sounds like a commitment to lead by example and that a Conservative government would only deal with companies that play fair, but makes no promises on legislation or support for SMEs when their credit terms are abused. The Prompt Payment Code (http://www.promptpaymentcode.org.uk/) is administered by our trade body, The Chartered Institute of Credit Management, and gives companies confidence when dealing with its signatories that they won’t be unfairly treated. At My Credit Controllers we support and encourage people to sign up and abide by its terms, but as a voluntary scheme it would be good if there was a more effective ‘stick’ in law to beat those who wish to exploit SMEs.