Labour leader Keir Starmer has unveiled a robust plan to address the growing crisis of late payments plaguing small businesses across the UK. The proposed measures aim to protect SMEs from financial instability caused by delayed payments from larger firms.
The Late Payments Epidemic
Small businesses have long struggled with the burden of late payments, which disrupt cash flow and stifle growth. Many are forced into precarious financial positions, with some even facing closure due to unpaid invoices.
Starmer's Three-Pronged Approach
Starmer's strategy includes:
- Stricter Enforcement: Empowering regulators to take action against repeat offenders.
- Transparency Measures: Requiring large companies to publicly report their payment practices.
- Legal Reforms: Strengthening small businesses' ability to challenge unfair delays.
A Lifeline for Struggling SMEs
"This isn't just about fairness - it's about securing the backbone of our economy," Starmer declared. The proposals have been welcomed by small business advocates who say the measures could transform the UK's business landscape.
The announcement comes as latest figures show small businesses are owed billions in overdue payments, with many waiting months for money they're legally owed.
