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East Midlands Chamber News

Council speeds up payments to local businesses

Local businesses that supply goods and services to Leicester City Council are being prioritised for quick payment as part of a move to help support the local economy.

Normally the city council has 30 days in which to pay invoices, but will now prioritise all payments to small local firms so they are paid within 21 days.

The move is designed to help local firms’ finances and help future economic growth, and takes effect for any invoices after October 1.

This week, letters have been sent out to 163 local suppliers, with a further 602 being contacted by email over the coming days, explaining why they’ve been selected and how to ensure their invoices are dealt with quickly.

Leicester Deputy City Mayor, Cllr Rory Palmer, said: “Small local businesses are vital for a thriving, diverse economy in the city. This move is part of the council’s efforts to support small businesses.

“We depend on over 760 local suppliers for products and services, and prioritising their payments will help them remain financially secure and able to continue providing their crucial role.”

Cllr Sue Waddington, the assistant city mayor for jobs and skills, added: “This is really good news for the hundreds of local small businesses with which we do business.

“We’re contacting all those who will benefit from this, to let them know what we are doing, and ensuring they know what to do from their end to enable us to pay them promptly.”