Question to the Cabinet Office:

To ask the Minister for the Cabinet Office, if he will make an assessment of the potential merits of disqualifying late-paying companies from public procurement contracts.

The Government understands the critical importance of prompt, fair and effective payment to all businesses, helping them grow and thrive.

Since 1 September 2019, suppliers already risk being excluded from winning large government contracts if they cannot demonstrate prompt payment to their supply chains. Suppliers must now demonstrate they pay 90% of their invoices within 60 days or be excluded, and provide an action plan for improvement if they are not paying 95% within 60 days, or risk similarly being excluded.