Thank you for visiting the Prompt Payment Code website.
The Prompt Payment Code (PPC) sets standards for payment practices and best practice and is administered by the Chartered Institute of Credit Management. Compliance with the principles of the Code is monitored and enforced by the Prompt Payment Code Compliance Board. The Code covers prompt payment, as well as wider payment procedures.
Information A letter from the Minister for Small Business, Consumers and Corporate Responsibility and the Chief Executive of the Chartered Institute of Credit Management has been sent to all signatories. This letter confirms the date the Statutory Duty to Report will come into force, clarifies the issue of 'exceptional circumstances' and highlights the success of the Prompt Payment Code to both suppliers and signatories alike. Click here to read the letter. Should you have any questions, please contact us.
Click here to read the full press release issued by BEIS and CICM.
"Prompt payment can make all the difference to small businesses, boosting their cashflow and allowing them to invest in growth for the future. Although we have seen some progress, there are still too many business owners across the country who have not been paid on time by their customers
We need a culture change to stamp this out and the Prompt Payment Code continues to play an important role in bringing this about, alongside a package of measures taken forward by government and industry. The businesses signed up to the Code commit to demonstrating the gold standard of payment practices and it's great to see so many of Britain's leading household names on the list."
Margot James - Minister for Small Business, Consumers and Corporate Responsibility
Code signatories undertake to:
within the terms agreed at the outset of the contract
without attempting to change payment terms retrospectively
without changing practice on length of payment for smaller companies on unreasonable grounds
providing suppliers with clear and easily accessible guidance on payment procedures (click to see the 'Treating Suppliers Fairly' guide)
ensuring there is a system for dealing with complaints and disputes which is communicated to suppliers
advising them promptly if there is any reason why an invoice will not be paid to the agreed terms
by requesting that lead suppliers encourage adoption of the code throughout their own supply chains
Additionally, signatories undertake to pay suppliers within a maximum of 60 days (in line with late payment legislation requirements), to work towards adopting 30 days as the norm, and to avoid any practices that adversely affect the supply chain.
The Code Compliance Board will have the remit to investigate and, if need be, act when a term in a contract exists or changes in a way that a supplier claims to be grossly unfair.
Click 'Apply' to become a signatory to the Prompt Payment Code.
If you pay promptly, then it's a real benefit to your supplier and potentially to you, the customer, as you could benefit too by receiving more favourable pricing or service which could make you more competitive.
Once approved, you can use the PPC logo on your documentation and website to show that you are serious about good payment practice.
The Prompt Payment Code is supported by:
The Chartered Institute of Credit Management (CICM) is the largest professional credit management organisation in Europe. It represents the credit profession across trade, consumer and export credit, as well as in related activities such as collections, credit reporting, credit insurance and insolvency. Visit www.cicm.com for more cashflow and credit management advice.