asked Her Majesty's Government:What proportion of bills were paid on time by Government departments and their agencies during the financial year 1998–99. [HL3850]
There has been a further improvement in the payment performance of central Government as a whole. The majority of departments met the previous target of paying 95 per cent. of their suppliers' bills on time.There is no room for complacency and it is disappointing to see that a number of departments and agencies, including DTI, failed to meet this year's target of 97.5 per cent. I have taken steps to remind all departments and agencies, including DTI, of the importance of paying suppliers' bills on time and meeting the target.The target for the 1999–2000 financial year has been increased to pay ]00 per cent. of undisputed suppliers' bills on time. It is particularly important that the public sector sets an example to business and is seen to pay its bills on time.
We are committed to improving the UK's payment culture. Late payment is a serious problem, particularly for small businesses. Not knowing when customers' bills will be paid means uncertain cashflow, increased borrowings, higher costs and reduced profits.
Government departments and their agencies are required to monitor their payment performance and to publish the results in their departmental or annual reports. The following table lists, by department, the proportion of bills paid within 30 days, or other agreed credit period, of receipt of a valid invoice for financial year 1998–99.
Government Departments Payment Performance 1998–99
| |
Main Departments
| Paid on Time %
|
| Privy Council Office | 100 |
| National Investment and Loans Office | 100 |
| Scotland Crown Office | 99.9 |
| Ministry of Defence | 99.8 |
| Government Actuary's Department | 99.4 |
| Radiocommunications Agency* | 99.3 |
| Office of the National Lottery | 99.3 |
| Ordnance Survey | 99.1 |
| Office of Water Services (OFWAT) | 99.0 |
| Insolvency Service* | 99.0 |
| HM Land Registry | 98.6 |
| Office of Electricity Regulation | 98.4 |
| Registry of Friendly Societies | 98.4 |
| Intervention Board for Agricultural Produce | 98.3 |
| Office of Fair Trading | 98.0 |
| OFSTED | 97.9 |
| Department of Culture, Media and Sport | 97.9 |
| Foreign & Commonwealth Office | 97.7 |
| Building Societies Commission | 97.5 |
| HM Customs & Excise | 97.5 |
| Office of Telecommunications | 97.3 |
| Welsh Office | 97.3 |
| Department for Education & Employment | 97.2 |
| Inland Revenue | 97.2 |
| Public Records Office | 97.1 |
| Scottish Office | 96.8 |
| Forestry Commission | 96.7 |
| Lord Chancellor's Dept. (inc. Public Trust Office) | 96.7 |
| Department for National Savings | 96.7 |
| Home Office | 96.6 |
| Department of Trade & Industry | 96.3 |
| Office of the Rail Regulator | 96.3 |
| Department for International Development | 96.3 |
| Cabinet Office | 96.3 |
| Treasury Solicitors Department | 96.2 |
| Northern Ireland Office | 96.1 |
| Crown Prosecution Service | 96.0 |
| Office for National Statistics | 95.6 |
| Serious Fraud Office | 95.4 |
| Royal Mint | 95.0 |
| Office of Passenger Rail Franchising | 95.0 |
| Office of Gas Supply | 94.9 |
| Export Credits Guarantee Department | 94.4 |
| Charity Commission | 94.1 |
| Health & Safety Executive** | 94.1 |
| Department of Health | 94.0 |
| Ministry of Agriculture, Fisheries and Food | 93.3 |
| Department of Environment, Transport and the Regions | 93.1 |
| HM Treasury | 93.0 |
| Department of Social Security | 91.7 |
| Total | 96.8 |
* Insolvency Service and Radiocommunications Agency are Executive Agencies of the Department of Trade and Industry. | |
** Health & Safety Executive is an Executive Agency of the Department of Environment, Transport and the Regions. | |