To ask the Secretary of State for Business and Trade, what assessment his Department has made of the potential impact of e-invoicing on (a) payment times and (b) cash flow management for SMEs.
Answered on
1 July 2025
The Government is committed to tackling late payments, which can cause cash flow issues for SMEs. In September 2024 we announced measures including a new Fair Payment Code, legislation requiring large companies to report headline payment performance data in their annual reports, and a public consultation on further measures.
Adoption of e-invoicing can also help improve payment times and cash flow management by reducing administrative burdens and data errors and streamlining invoicing processes.
DBT and HMRC recently ran a joint 12-week consultation to gather views on promoting e-invoicing in the UK. The Government will publish a summary of responses and provide an update on next steps in due course.