English councils getting better at paying suppliers on time

The average time taken by local authorities in England to pay suppliers has improved, a freedom of information request have shown.

According to the analysis of 2015 data from almost 300 councils by the Forum of Private Business, councils took an average of 16.7 days to settle bills, down from 17.9 days in 2009 and 17.6 days in 2012.

According to the FPB, 92% of suppliers were paid within 30 days and 55% within 10 days.

Further analysis showed that 13% of council have special terms for SMEs or local firms, and 9% give local firms preferential treatment and settle bills in either 10 or 14 days. Another 5% reported that they give such terms to SMEs in general regardless of geography.

Despite the positivity however there was considerable variation between councils. The best councils were Tonbridge and Malling, South Northampshire and South Holland which pay up within an average of three days, whereas Brent council in London was the worst with an average pay up time of 64 days.

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