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Small Businesses: Procurement

Question for Department for Business, Innovation and Skills

UIN 218269, tabled on 11 December 2014

To ask the Secretary of State for Business, Innovation and Skills, what representations he has received from small and medium-sized businesses about companies that require a supplier company to make a payment in order to join or to remain on a list of suppliers.

Answered on

17 December 2014

The Department for Business, Innovation and Skills has received a number of representations about this issue both from small business representative organisations and from small- and medium-sized businesses themselves. The recent media coverage relating to Premier Foods has prompted an increase in such representations. However, there is not a consensus amongst correspondents: some are in favour of company investment and/ or discount schemes and have explained how they have helped them thrive as a supplier; others are against such schemes and have highlighted the negative impact of their imposition.

Answered by

Department for Business, Innovation and Skills