Freedom of Information
Request received on 08/02/2010:
I would like information about the amount of time it takes your organisation to pay suppliers. I am requesting:
1. Since 8 October 2008 to date, the percentage of suppliers' invoices that a) have and b) have not been paid within 10 days.
2. Since 8 October 2008 to date, a) the number of suppliers who have not been paid within 10 days and b) the total value of the suppliers' invoices concerned.
3. Since 8 October 2008 to date, a) how much the organisation paid to suppliers in interest for late payment pursuant to the Late Payment of Commercial Debts (Interest) Act 1998 and b) the total value of the suppliers' invoices concerned.
4. Since 1 April 2008, how much the organisation paid to suppliers in interest for late payment pursuant to the Late Payment of Commercial Debts (Interest) Act 1998 and b) the total value of the suppliers' invoices concerned.
Response provided on 01/03/2010:
Introduction: LBRO commissioned its own in-house finance system on 1 April 2009, prior to which all its invoice processing and creditor payments were outsourced. Because of this, for the purpose of answering this request, a random sample of all invoice postings and their payment profiles prior to April 2009 was used, together with the detailed records for all transactions from April 2009 to January 2010 inclusively. LBRO seeks to comply with the current Government standards and targets concerning payments to creditors, and aims to pay all its creditors within 8 working days from date of receipt of invoices. The 10 days (not working days) specified in Q1 and Q2 has been interpreted as 8 working days.
1. a) 75.2% and b) 24.7%. (Excluding the pre-April 2009 sample test, a) 79.4% and b) 26.2%.)
2. a) 137 suppliers (175 invoices) and b) £692,489.53.
3. LBRO has incurred no interest penalties in respect of late payments.
4. LBRO has incurred no interest penalties in respect of late payments.