30 October 2008
The government's pledge to pay small suppliers within 10 days has been welcomed by representative groups.
Business secretary Lord Mandelson announced measures last week to help small firms weather the credit crunch. These included paying invoices within 10 days to ease cash flow.
Phil Orford, chief executive of the Forum of Private Business, said: "The government has put together a useful raft of initial measures."
The Federation of Small Businesses said the initiatives "set an example" to the private sector.
Central government and England's Regional Development Agencies have signed up to the goal. The government is urging local authorities and NHS trusts to follow suit.
John Collington, commercial director at the Home Office, said he was confident it would meet the target providing suppliers sent in compliant invoices.
