Home Office: Billing

Home Office written question – answered on 29th March 2023.

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Photo of Seema Malhotra Seema Malhotra Shadow Minister (Business, Energy and Industrial Strategy)

To ask the Secretary of State for the Home Department, what assessment she has made of the proportion of invoices her Department paid to small and medium-sized enterprises within five days in (a) the 2021-2022 financial year and (b) each of the last 12 months.

Photo of Chris Philp Chris Philp The Minister of State, Home Department

All government departments publish payment performance quarterly showing the percentage of invoices paid in 5 days, the percentage of invoices paid in 30 days, and net debt interest liability. This is available on GOV.UK. The Home Office’s payment performance is available at:

Home Office prompt payment data 2021 to 2022 - GOV.UK (www.gov.uk)

Home Office prompt payment data 2022 to 2023 - GOV.UK (www.gov.uk)

In addition, in accordance with Regulation 113 of the Public Contract Regulations 2015, Contracting Authorities are required to publish annually the percentage of invoices paid in 30 days online. This is available at page 45 of the Home Office’s Annual Report and Accounts for financial year 2021-22:

Home_Office_ARA_21-22_Final_-_Gov.uk.pdf (publishing.service.gov.uk)

The Procurement Bill, currently passing through Parliament, will create a simpler and more transparent procurement regime that will further open up public procurement to SMEs. The Bill includes a new duty on contracting authorities to have regard to the particular barriers facing SMEs.

Specifically, the Procurement Bill will imply 30 day payment terms into every sub-contract that is substantially for the purpose of performing a public contract. This will ensure SMEs at every tier of the public supply chain can benefit from faster payments, even if 30 day terms aren't explicitly written into the contract.

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