Asked by: Joshua Reynolds (Liberal Democrat - Maidenhead)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps his Department is taking to monitor the effectiveness of late payment reforms.
Answered by Blair McDougall - Parliamentary Under Secretary of State (Department for Business and Trade)
This Government is committed to tackling late payments and will introduce the most significant legislation aimed at tackling late payments in 25 years. Late payments cost the UK economy £11bn per year and close down 38 UK businesses every day.
Large businesses are already legally required to publish their payment performance twice yearly through GOV.UK. Analysts at the Department for Business and Trade will be able to determine the effectiveness of these measures through using the data that large businesses submit to check that payment times have improved.
Asked by: Joshua Reynolds (Liberal Democrat - Maidenhead)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what assessment he has made of the potential impact of late payment reform on cash flow for small and medium-sized enterprises.
Answered by Blair McDougall - Parliamentary Under Secretary of State (Department for Business and Trade)
This Government is determined to tackle late payments. On 31st July, alongside the Plan for Small Business, we launched a public consultation to seek views on our proposed legislative measures to ensure companies pay their suppliers quickly and on time. These measures include proposals to set strict maximum payment times at 60 days and to provide the Small Business Commissioner with stronger powers to tackle poor payment practices.
As part of the launch of the consultation an impact assessment was published on GOV.UK assessing the impact these measures will have on all businesses across the UK.
Asked by: Joshua Reynolds (Liberal Democrat - Maidenhead)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what assessment his Department has made of the potential impact of the UK-US Economic Prosperity Deal on (a) manufacturing jobs, (b) consumer prices, (c) business competitiveness and (d) costs to businesses.
Answered by Chris Bryant - Minister of State (Department for Business and Trade)
In May, the UK concluded a landmark economic deal with the US. The UK was the first country to secure such an agreement that removes tariffs for civil aerospace goods, and we remain the only country to have secured a 10% tariff for automotives within quota – saving hundreds of millions of pounds on UK exports annually. In 2024, the UK aerospace and automotive industries directly accounted for 232,000 jobs.
We are continuing talks on a wider UK-US Economic Deal to address specific tariff and non-tariff barriers, increase digital trade, and unlock new commercial opportunities that benefit both nations.
The Prime Minister, Business Secretary, Ministers and officials across government have been engaging widely with business organisations and companies across the economy. We will continue our extensive engagement throughout the remaining negotiations.
Asked by: Joshua Reynolds (Liberal Democrat - Maidenhead)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps his Department is taking to help support small and medium-sized enterprises to prepare for new market access arising from free trade agreement negotiations with Turkey; and with how many businesses his Department has held discussions on these negotiations.
Answered by Chris Bryant - Minister of State (Department for Business and Trade)
It is too soon to presume on the final outcomes of FTA negotiations with Türkiye but we have held two successful rounds of negotiations during which amongst other things both sides committed to a Small and Medium-sized Enterprises (SMEs) chapter.
During our Call for Input we received substantial interest, including over 130 submissions from businesses and over 200 responses in total. We continue to actively engage businesses and stakeholders throughout negotiations.
Asked by: Joshua Reynolds (Liberal Democrat - Maidenhead)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, whether he plans to provide the Small Business Commissioner with additional powers to help tackle persistent late payment by large firms.
Answered by Blair McDougall - Parliamentary Under Secretary of State (Department for Business and Trade)
This Government is committed to tackling late payments and supporting small businesses and the self-employed.
We launched a consultation in July alongside the Plan for Small Business which closes on the 23rd of October which sets out measures we intend to bring forward in a package of primary legislation. As part the package, the Small Business Commissioner will be given stronger powers to ensure that they are able to tackle the poor payment practices head on. The consultation includes additional measures such as setting maximum payment terms and fining businesses that persistently pay their suppliers late.
Asked by: Joshua Reynolds (Liberal Democrat - Maidenhead)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps his Department is taking to ensure compliance with statutory maximum payment terms for suppliers.
Answered by Blair McDougall - Parliamentary Under Secretary of State (Department for Business and Trade)
This Government is committed to tackling late payments and supporting small businesses and the self-employed.
We launched a consultation in July alongside the Plan for Small Business which closes on the 23rd of October which sets out measures we intend to bring forward in a package of primary legislation. This includes proposals for stricter maximum payment terms and providing the Small Business Commissioner with stronger powers. This will be the most significant legislation to tackle late payments in over 25 years and will give the UK the strongest legal framework on late payments in the G7.
Asked by: Joshua Reynolds (Liberal Democrat - Maidenhead)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what assessment the Government has made of the potential impact of large businesses repaying SME invoices 60 or 90 days after receipt of the invoice on levels of interruption to SME cashflow.
Answered by Blair McDougall - Parliamentary Under Secretary of State (Department for Business and Trade)
On 31st July DBT published new research showing that late payments cost the UK economy £11bn per year and closes down 38 UK businesses every day, with a disproportionate impact upon small businesses.
Government is putting in place the most significant legislation to tackle late payments in over 25 years, giving the UK the strongest legal framework on late payments in the G7. The consultation on stronger new legislative measures to ensure small businesses are paid promptly closes on 23 October.
Asked by: Joshua Reynolds (Liberal Democrat - Maidenhead)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, if he will make an assessment of the potential merits of requiring a company to confirm an address before registering it at Companies House.
Answered by Justin Madders
Through the Economic Crime and Corporate Transparency Act 2023 we have given the registrar more powers to ensure address (and other) information on the register of companies is as accurate and complete as reasonably possible. Additionally, next year will see the introduction of identity verification for company officers, beneficial owners and those who file information on companies’ behalf. We will assess the merits of these various improvements before considering what, if any, further measures might be appropriate to improve the quality and reliability of company information.