MITIE WASTE & ENVIRONMENTAL SERVICES LIMITED
Company number: 08457483
Reporting period:
1 October 2020 to 31 March 2021
Report filed on:
30 April 2021
Approved by:
Simon Charles Kirkpatrick
Payment statistics
Average time taken to pay invoices: 79 days
Invoices paid:
- within 30 days: 7%
- in 31 to 60 days: 54%
- in 61 days or more: 39%
Late and disputed:
- payments due in the reporting period which have not been paid within the agreed period: 36%
Payment terms
Shortest standard payment periods
60 days
Longest standard payment period
Answer not provided
Standard payment terms
Our standard payment terms state that payment of supplier invoices for goods and services will be made 60 days from the date of a properly formatted and undisputed VAT invoice, unless otherwise agreed by a duly authorised representative.
The business also operates a no purchase order, no pay policy, unless otherwise agreed, in exceptional circumstances, by a duly authorised representative. Invoices received, and which do not include a valid purchase order number, are rejected and returned to the supplier.
Were there any changes to the standard payment terms in the reporting period?
No
Were suppliers notified or consulted about these changes before they were made?
N/A
Maximum contractual payment period agreed
60 days
Due to the nature of its operations Mitie Waste has a different ERP to the majority of the Mitie entities within the group. There are limitations in the ability to capture the exact date of receipt of a valid invoice.
In the absence of this capability, the statistics above calculate payment delay from the earlier of invoice date + 4 days or posting date less 2 days, resulting in an unfavourable skew of the reported payment statistics.
There is an ongoing project within the Waste business to improve our ability to capture the receipt date and ultimately improve the payment terms with our suppliers. There have been changes to the process which have resulted in a significant improvement in the payments terms since the last report. Contractual terms for many of the key suppliers are 60 days and therefore any changes to improve that element will be managed as part of the contractual procurement process. Improvement project is still ongoing to try to improve position in the next 12 months.
Any other information about payment terms
No further comment provided
Dispute resolution process
We recognise the strategic importance of our supply chain partners, and as such are committed to treating them fairly. Our preference is to always address disputes in a transparent and timely manner, always acting in good faith, through open and constructive discussion.
If such discussions fail to resolve a dispute, an authorised representative of the supplier and the company shall, within 30 days of a written request from one party to the other, meet in good faith to resolve the dispute. If the dispute remains unresolved either the supplier or the company shall refer it to mediation in accordance with the Centre for Effective Dispute Resolution ("CEDR") Model Mediation Procedure that is in force at the date of the referral.
Other payment information
Has this business signed up to a code of conduct or standards on payment practices? If so, which?
For example, signatories to The Fair Payment Code must commit to paying 95% of their invoices within 60 days.
No, this business has not signed up to a code of conduct or standards on payment practices.
Does this business offer e-invoicing in relation to qualifying contracts?
This is where suppliers can electronically submit and track invoices. It's not just allowing suppliers to email them an invoice.
No
Does this business offer supply chain finance?
This is where a supplier who has submitted an invoice can be paid by a third-party finance provider earlier than the agreed payment date. The business would then pay the finance provider the invoiced sum.
No
Under its payment practices and policies, can this business deduct sums from payments under qualifying contracts as a charge for remaining on a supplier list?
No
During the reporting period, did the business deduct sums from payments as a charge for remaining on a supplier list?
No