CCR Magazine

You are here  :Home arrow News arrow New payment reporting rules will improve customer/supplier relationships, expert claims
Contact Us Newsletter Signup RSS Feeds

Latest News Headlines


Commercial Credit News


New payment reporting rules will improve customer/supplier relationships, expert claims PDF Print E-mail
Friday, 03 March 2017
A leading payment expert has refuted suggestions that new government financial reporting rules will increase the burden on big businesses, and says greater transparency will help improve customer/supplier relationships.  

From next month, all big businesses will be obliged to post their payment records on a dedicated government website on how they treat suppliers, or face the risk of hefty fines for non-compliance. It will allow suppliers to compare and contrast the payment performance of customers within their own industries.

Speaking on the BBC’s You and Yours, Philip King, Chief Executive of the Chartered Institute of Credit Management (CICM), says that it’s data that all business should have to hand: “Most businesses will have this data in some form or another and should be monitoring how they are treating their supply chain anyway, because if they are not, then they’re not doing their job.”

He also said that given the publicity around late payment, there are not enough complaints being addressed to the CICM as administrators of the government’s Prompt Payment Code: “We only get three or four complaints a month on average, and it should be more than that as clearly there is plenty of noise around bad behaviour,” he explains.

“This is incredibly frustrating, for when we do get contacted, we are very successful at resolving queries, getting things changed within both supplier and buyer processes, and getting the money paid very quickly."

Philip says that although small companies often fear raising a complaint, there is little or no evidence that in doing so there is any lasting damage to the customer/supplier relationship: “More often than not, a complaint revolves around an invoice that’s not been paid, and when you dig further, it’s very often an administrative issue, a process issue, or simple inefficiency on the part of the customer. In all such cases, our intervention allows the problem to be resolved quickly, and often it is the first time that there has been any dialogue between the two sides about the issue.”

Poor credit management practices, he says, are also often to blame: “Wrong purchase order numbers, or the invoice sent to the wrong address or the wrong company can all lead to an invoice not being paid. Not all businesses behave responsibly, that is certainly true, but there are many more who do want to support the supply chain and who do want to strengthen their supplier relationships.”

Philip believes that taking a professional credit management approach from the outset can make all the difference: “Suppliers sometimes don’t appreciate the strength of their position,” he continues. “Setting payment terms from the outset, and adopting best practice credit management, can make all the difference in getting paid on time.”

 Forums International Ltd

Forums International Ltd

 Attendance at your first meeting is free of charge, and please quote reference 'CCR2016' to receive the special 10% discount off of your first annual subscription.

Find out more here.

latest issue

CCR Cover

The latest edition of CCR Magazine, the leading editorial publication in the UK credit industry, is out.

Read the latest issue online


CCR is the premier magazine for consumer and credit professionals. It provides an independent voice to the industry, breaking major news stories and running in-depth features.

As a magazine, it works with and campaigns on behalf of the credit industry to promote its importance as a centre of potential profit and business development to the wider business world.

Subscribe to CCR Magazine

CCR World Magazine


Providing information and analysis for thousands of senior credit professionals worldwide, every quarter.

Find out more

GTS Media Ltd
81 Cambridge Road

Registered in England No: 05483197