Ditch cheques and end late payment culture, urges BCC

The ‘endemic’ late payment culture severely inhibiting many SMEs and small businesses would soon be ended if cheques were ditched, the British Chambers of Commerce (BCC) has suggested. There was a 2018 deadline set for cheques to be axed, but this was scrapped earlier this year when the UK Payments Council announced that cheques would continue for as long as customers were using them. New research by the business lobbying group found that more than nine in 10 firms are affected by late payments and, while 66% of firms are normally paid in cheque format, only one in five favoured the cheque as their preferred payment method. The BCC was adamant that the 2018 deadline should be reinstated and said in a statement: “While many businesses still use this method of payment, it can have negative effects on other businesses' cashflow".

Invoice Finance as late payment solution

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