SEVERFIELD (UK) LIMITED

Company number: 02668795

Reporting period:
1 April 2022 to 30 September 2022

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This report was filed on 28 October 2022

and approved by Jennifer Magowan

Payment statistics

Average time taken to pay invoices: 41 days

Invoices paid:

• within 30 days: 30%
• in 31 to 60 days: 57%
• in 61 days or more: 13%

Invoices due but not paid within agreed terms: 21%

Payment terms

Shortest standard payment periods

30 days

Longest standard payment period

75 days

Standard payment terms

30 days end of month of date of invoice

Were there any changes to the standard payment terms in the reporting period?

Answer not provided

Were suppliers notified or consulted about these changes before they were made?

N/A

Maximum contractual payment period agreed

75 days

No further comment provided

Any other information about payment terms

Severfield UK acknowledge that the results of 87% of invoices paid within 60 days and 51% of SME invoices paid within 30 days are less than of the Code's required targets of 95%. This is reflective of the ongoing inflationary and supply chain pressures faced by the company and our suppliers in recent months, in addition to the existing difficulties faced by companies in the construction sector where supply chains and contractual terms are complex, and prompt payment is often materially impacted by resolution of disputes and alignment to agreed contractual terms. On the whole, the company has managed these pressures well through strict cash management procedures and maintaining good relationships with our suppliers, and this is reflected in 87% of suppliers continuing to be paid within 60 days.

Dispute resolution process

All disputes are escalated to the Accounts Payable Manager who works with the teams involved to reach a resolution with our suppliers

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 Prompt Payment Code must commit to paying 95% of their invoices within 60 days.

Yes, this business has signed up to: Prompt payment code

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