The Federation of Small Business (FSB), UK organization that represents small and medium-sized businesses, has reportedly called for urgent intervention by the government in improving the way firms are paid, as over 440,000 firms are under the risk of shutting down due to the late payment of invoices. Mike Cherry, National Chairman of FSB, stated that the late payment issue had been destroying thousands of small businesses even before the pandemic had begun. According to Cherry, small firms employ more than 13 million workers in the country and are now facing difficulties on every front, such as new customs checks on EU imports and the ongoing energy cost crisis. A government spokesperson responded that the authorities are bringing significant reforms in aiding small businesses to help them get paid on time, like halving the payment period in the prompt payment code. It is also consulting on fines and other new powers for the Small Business Commissioner.

Source: The Guardian January 04, 2022 12:04 UTC