Thank you for visiting the Prompt Payment Code website.
The Prompt Payment Code (PPC) sets standards for payment practices and best practice and is administered by the Chartered Institute of Credit Management. Compliance with the principles of the Code is monitored and enforced by the Prompt Payment Code Compliance Board. The Code covers prompt payment, as well as wider payment procedures.
A letter has been sent to all signatories advising them of the timetable for planned changes that will be phased in over coming months. The letter can be viewed here.
Code signatories undertake to:
within the terms agreed at the outset of the contract
without attempting to change payment terms retrospectively
without changing practice on length of payment for smaller companies on unreasonable grounds
providing suppliers with clear and easily accessible guidance on payment procedures (click to see the 'Treating Suppliers Fairly' guide)
ensuring there is a system for dealing with complaints and disputes which is communicated to suppliers
advising them promptly if there is any reason why an invoice will not be paid to the agreed terms
by requesting that lead suppliers encourage adoption of the code throughout their own supply chains
Additionally, signatories undertake to pay suppliers within a maximum of 60 days (in line with late payment legislation requirements), to work towards adopting 30 days as the norm, and to avoid any practices that adversely affect the supply chain.
The Code Compliance Board will have the remit to investigate and, if need be, act when a term in a contract exists or changes in a way that a supplier claims to be grossly unfair.
Click 'Apply' to become a signatory to the Prompt Payment Code.
If you pay promptly, then it's a real benefit to your supplier and potentially to you, the customer, as you could benefit too by receiving more favourable pricing or service which could make you more competitive.
Once approved, you can use the PPC logo on your documentation and website to show that you are serious about good payment practice.
The Prompt Payment Code is supported by:
The Chartered Institute of Credit Management (CICM) is the largest professional credit management organisation in Europe. It represents the credit profession across trade, consumer and export credit, as well as in related activities such as collections, credit reporting, credit insurance and insolvency. Visit www.cicm.com for more cashflow and credit management advice.