UK firms signal increased hiring -business news 22 February 2021.
James Salmon, Operations Director.
UK firms signal increased hiring, protecting jobs key theme of budget, economy to suffer if travel restrictions not listed, destitution levels rising, government borrowing hits record, covid-19, market, tax and lots more business news.
Here are CPA with our large SME membership we want to share the business news stories we have seen that we think will affect our members and readers. Many of us business owners are busy fighting to protect our businesses and therefore might have missed some of the news that could impact small businesses, their owners and those that sell on credit.
CIPD: UK firms report strongest hiring intentions in a year
The Chartered Institute of Personnel and Development has said 56% of businesses planned to increase staff numbers in the coming months, up from 53% in late 2020 but below the 66% planning to hire staff before the pandemic. The proportion of firms planning redundancies dropped sharply to 20% from 30% in the last quarter. However, the CIPD said unemployment was likely to rise sharply if the Chancellor fails to extend jobs support for businesses in his March 3 budget. “It is far too soon to rule out further significant private sector redundancies later in the year if the Government does not extend the furlough scheme to the end of June or if the economy suffers any additional unexpected shocks,” said Gerwyn Davies, a senior labour market advisor to the CIPD
Protecting jobs will be key theme in Budget
The Express looks ahead to Rishi Sunak’s March Budget citing James Foster, the Senior Commercial Manager at SJD Accountancy, who said he expects plans for employment to be at the core of this year’s announcement. Mr Foster said: “The need to rebalance the public finances in the wake of this pandemic is something the Chancellor has already made clear reference to. But the indications so far are that this Budget will not be one that sees wide-ranging taxes announced. Protecting jobs will be a key theme and I think we can expect to see an extension to the business support schemes – the CJRS (Coronavirus Job Retention Scheme, or furlough) and SEISS (Self-Employed Income Support Scheme).”
Economy will lose £18bn unless travel restrictions are lifted
MPs have warned that the UK economy will lose £18bn if the current restrictions on international travel extend into the summer, with the All Party Group on the Future of Aviation urging ministers to set a clear timetable for opening up travel – as well as deliver a comprehensive financial support package for the industry. With pandemic-related restrictions hitting outbound travel, which contributed £37.1bn to the UK economy in 2019, it is expected to see a hit of more than £10bn, while a decline in international visitors could see shops, restaurants, hotels and tourist destinations lose at least £7.5bn of income. Joss Croft, chief executive of trade association UKinbound, says there is an urgent need for the Chancellor to extend furlough for as long as restrictions are in place, deliver sector specific grants and extend relief on business rates.
Holidays prove stamp duty is a damaging drag on the economy
A new report by the Centre for Policy Studies shows stamp duty and building tax holidays have helped push housing transactions to the highest level since the financial crisis. Report author and CPS data analyst, Jethro Elsden, commented: “The introduction of the stamp duty holiday last July did not just rescue the housing market and construction sector, but proved conclusively that high stamp duty rates have become a damaging drag on the economy, the housing market and people’s aspirations.” He continues: “With the holiday due to finish at the end of March, we urge the UK Government to either make the £500,000 threshold permanent for primary residences, or better yet, abolish it entirely. At the very least the Chancellor must look to extend the current stamp duty holiday, or he risks delivering a sledgehammer blow to the housing market, and the wider economy.”
BoE faces tension over stimulus options if recovery disappoints
The FT reports on a potential conflict between Bank of England policymakers over whether the central bank should expand its quantitative easing programme or take the plunge on negative interest rates.
Pandemic pushes up destitution
Research by the National Institute of Economic and Social Research (NIESR) shows there were 220,000 more households living in destitution by the end of last year. The pandemic has helped push the figure up to 421,500 households – with destitution defined as a two-adult household living on less than £100 a week and a single-adult household on less than £70 a week after housing costs. Additionally, the NIESR has identified regional disparities, with the number of households living in destitution in the North West three times the overall UK figure.
Government borrowing hits January record
Government borrowing hit £8.8bn last month due to the cost of the nation’s coronavirus-related spending. The figure marks the highest January reading since records began almost 30 years ago and sees the first time in ten years that borrowing in the first month of the year has outweighed the total pulled in via tax and other income. The Office for National Statistics report shows that Government borrowing for this financial year stands at £270.6bn, £222bn more than a year ago, with the Office for Budget Responsibility having estimated that borrowing could reach £393.5bn by the end of the financial year in March. The increase in borrowing has seen the national debt climb to £2.11trn, with the UK’s overall debt now at 97.6% of GDP. While the haul from self-assessment income tax payments came in at £16.8bn – up £1.4bn on January 2020 – this was not enough to outweigh fall s in other taxes including VAT and business rates. Overall tax receipts were down £800m year-on-year.
Retail sales slip 8%
Retail sales across the UK fell 8% month-on-month and almost 6% year-on-year in January, with the latest coronavirus-related restrictions delivering a decline that exceeded analysts’ forecasts of a 3% fall – although the slide was not as steep as the 22% fall seen in the initial lockdown last April. The data from the Office for National Statistics reveals that online spending accounted for a record 35.2% of sales last month, up from 29.6% in December and 19.5% in January 2020.
London population to fall
A PwC forecast suggests that London’s population will fall this year, marking the first decline in the number of people in the capital for more than 30 years.
Lock-down sees subscription services surge
Analysis has revealed a rise in the use of subscription services, with the average household now having seven subscriptions. Two-thirds of UK households are signed up for the repeat delivery of goods or services, with the average annual spend estimated at between £500 and £700 a person, double that recorded 2017. KPMG’s Rob Baxter says that while subscription services have been increasing in popularity for “some time”, they have seen a surge of interest during lockdown. “As our lives have become more predictable consumers have embraced subscription services far more readily,” he adds.
AI drives move away from ‘hit and miss’ drug research
The Observer looks at how the pharmaceutical sector is being transformed by technology, with artificial intelligence improving drug discovery. Karen Taylor, director of the Centre for Health Solutions at Deloitte, says that while traditional drug discovery has been “very fragmentary, very hit and miss”, it is now “being transformed” through the use of AI which is reducing the time it takes to mine vast amounts of scientific data.
Covid-19 general news
There were 9834 new cases in the UK yesterday (total 4.12 million) with 215 more deaths (total 121k).
Globally 291,658 new cases brought the total to 111.3 million with 2,466,874 deaths.
205 million vaccine doses have now been given worldwide.
PM Boris Johnson spent the weekend finalising his “roadmap” for easing Covid restrictions in England and opening up the economy. The government was “crunching the numbers” ahead of today’s announcement, Foreign Office minister James Cleverly said.
He is set to announce that schools will reopen on the 8th March and the covid lock-down will be lifted in stages over the coming months. People will be also allowed to meet one one one for coffee or meet outside. More social contact will be allowed from the 29th March with gatherings outdoor of six people or two households. Mr Johnson insists any unlocking will be led by “data, not dates”, and that relaxation will stop if vaccines prove ineffective, new dangerous covid-19 strains emerge or a surge in infections threatens hospitals
Chancellor Angela Merkel at the G7 meeting on Friday has said multilateralism has taken a huge step forward with the arrival of the Biden Administration. The summit which is taking place remotely has seen the US President reach out to the rest of the world asking for their support to combat the covid-19 pandemic and climate change.
The US is approaching 500,000 covid deaths.
The Pfizer Inc. vaccine appears to have stopped almost 90% of those vaccinated in Israel from becoming infected, according to a study, providing the first real-world indication that the immunization is working.
Pandemic may deliver a ‘lost generation’
Experts have warned that the coronavirus pandemic will create a “lost generation” by driving up unemployment among young people, with the Resolution Foundation suggesting that nearly 850,000 16 to 24-year-olds face being out of work by October, double the 452,000 people in the age bracket who were jobless in October 2019. The think-tank estimates that up to 355,000 people aged 18 to 24 have been unemployed for six months. Figures place the youth unemployment rate at 14.2% in the three months to November, an increase of 0.5% when compared with the start of 2020. The Resolution Foundation said that with youth unemployment looking set to peak later this year, those with lower-level qualifications are “especially at risk”.
Pandemic hits women’s work, pay and pensions
Laura Miller in the Sunday Times looks at the impact the pandemic has had on female workers, noting suggestions that the coronavirus crisis has set women back decades when it comes to closing the gender pay and pensions gap. PwC research shows that women suffered 78% of job losses in the first wave, while separate data shows 72% of mothers suffered cuts to their income. The Academy for Women Entrepreneurs says work has completely dried up for 30% of female-run companies, while Rest Less has found that 100,000 women over 50 have stopped working. Data from the Financial Conduct Authority show that 7.5m men have been able to save during the pandemic, compared with 5.5m women.
Boeing
Boeing advised the suspension of flights on some of its planes after a 777 flight operated by United Airlines experienced engine failure on Saturday and rained debris over a Denver suburb before making an emergency landing. Japan’s transport ministry grounded some flights and barred Boeings with the same engine from its airspace. Boeing has only recently had its 737 MAX jets re-certified after the deadly crashes in 2018 and 2019.
Markets.
On Friday the FTSE 100 closed at up 0.1% and the 250 closed up .5%. The European indexes showed even greater gains, not held back by Sterling’s strength. In the US, in a tepid session, the S&P 500 fell 0.19% and the NASDAQ rose 0.07% as the indexes traded higher for most of the morning, but a combination of rising interest rates and profit taking appeared to dampen optimism
Asian Markets were mixed this morning, with stimulus optimism tempered by inflation concerns and following uncertain cues from Wall Street Friday.
UK Banks rallied after Thursday’s drop helped by rising bond yields and the sense from NatWest that the impairment outlook and actual losses from covid-19 was not as bad as feared. Pharmaceuticals and US dollar earners were sharply lower.
Sterling continues to strengthen. It is at 1.157 Euros and 1.401 US Dollars. The enthusiasm seems to come from the improving perception of the government’s handling of Covid-19, given vaccinations are running at around 3m per week. The UK’s PMI reading during the third lockdown showed the downturn was less severe than anticipated, pushing cable above the $1.40 mark for the first time in 34 months.
Oil slipped as Texas energy producers prepared to restart shuttered fields and Iran signaled it was willing to resume negotiations. Brent Crude is at $63.5 and Gold is at $1796.
Bitcoin prices touched another record over the weekend after the cryptocurrency hit $1 trillion in market value
G4S
Canadian GardaWorld pledged to stick with its improved 235 pence a share offer for security company G4S, paving the way for rival bidder, US, Allied Universal to move ahead with its accepted bid for the company. G4S had previously rejected GardaWorld’s offer of 235 pence per share in favour of Allied Universal’s 245 pence a share bid.
City calls for post-Brexit boost for financial sector
The Mail on Sunday’s Emma Dunkley reports that City firms are set to call for a post-Brexit boost for Britain’s financial sector, with insurers, banks and asset managers to urge ministers to cut red tape, lower taxes and make it easier for finance professionals from abroad to work in the UK. She cites a source who says officials will be urged to allow for more “flexible” regulation. The proposals are being drawn up by UK Finance with input from bodies including the Association of British Insurers and the Investment Association. The move comes amid concern over a lack of agreement for financial services being secured in Brexit talks, making it harder for UK financial firms to do business in the EU.
Around 1,000 EU finance firms expected to open offices in the UK
Financial Conduct Authority records obtained by financial consultancy Bovill show roughly 1,000 European Union finance firms are expected to open their first offices in the UK after losing their passporting rights because of Brexit. The firms “were operating on a services passport prior to Brexit, which means they did not have a permanent office in the UK,” said Ed O’Bree, partner at Bovill. “These firms are therefore likely to invest in real estate and professional services advice as they set up a UK office for the first time.”
Deal sees boost for Arcadia pensions
A 2019 deal between Sir Philip Green and Arcadia Group’s pension trustees is set to save the schemes from a bailout but leave taxpayers short. The agreement granted trustees partial security over a £327m loan payable by Topshop to the Arcadia holding company, with this repaid when Asos bought the Topshop, Topman and Miss Selfridge brands from administration. The sell-off triggered a payout to the pension fund while diminishing the pool of funds for unsecured creditors. With Arcadia appointing administrators from Deloitte before a change to insolvency laws that elevated the claims of HMRC above those of other unsecured creditors, the Revenue will recoup only a fraction of £44.2m it is owed.
HMRC delays late fee on self-assessment debt
HMRC has announced that it will delay the first penalty on unpaid self-assessment debt. Late payment usually sees a 5% penalty on any taxes left unpaid 30 days after the deadline, but HMRC is to drop the fine for taxes that are still outstanding by March 3, as long as the debts are cleared or moved on to a payment plan by the start of April. HMRC said taxpayers who owe less than £30,000 can set up a Time to Pay arrangement via the tax authority’s online portal. Noting the “exceptionally difficult circumstances” brought about by the pandemic, Dawn Register, head of tax dispute resolution at BDO, welcomed the delay in late penalties, saying the “exceptional move” from HMRC “will specifically support people struggling with their financial affairs, and offers additional and much-needed respite.” Chris Etherington of RSM also praised the move, sayin g it was the “right and ethical thing to do”. The measure from HMRC follows a decision earlier in the year that saw it waive a £100 late filing penalty until the end of February, sparing the record 1.8m people who failed to pay their taxes on time.
Rate reform review delayed
Chancellor Rishi Sunak has confirmed that a fundamental review of business rates, which will include analysis of a possible online sales tax, has been pushed back to the autumn. The Treasury says delaying the report gives it time to develop a coherent long-term strategy and allows it to consider the matter when there is more economic certainty. Suren Thiru, head of economics at the British Chambers of Commerce, has warned that the delay could hurt the post-pandemic recovery, saying: “Delivering fundamental change to this longstanding drag anchor on business?has become only more pressing in light of Covid.” Jerry Schurder, head of business rates at property consultancy Gerald Eve, described the Treasury’s justification of the delay as a “feeble excuse” which exposes its “lack of ideas on how to address the issues the report will undoubtedly highlight.”
Sunak set to increase corporation tax
Rishi Sunak is expected to announce plans to increase corporation tax in his March 3 budget, with the Chancellor reportedly set to confirm a 1 percentage point rise that will come into effect later in the year. This will trigger increases that will lift the rate to 23% over the course of the parliament. The move will partially reverse cuts implemented by former Chancellor George Osborne which have seen the rate reduce from 28% to 19%. HMRC modelling suggests that each percentage point rise would raise around £3bn, while Office for Budget Responsibility analysis has previously suggested that every percentage point increase could knock 0.5% off business investment spending. The move on corporation tax allows the Chancellor to stick to a manifesto pledge that the Tories would not increase VAT, inheritance tax and national insurance. Meanwhile, Mr Sunak will reportedly use his budget to confirm extensions of business rates relief and the furlough scheme.
Corporation tax set to rise to cover pandemic costs
Rishi Sunak will use his March 3 budget to outline an increase in business taxes, reports the Sunday Times’ Tim Shipman, with an increase in the corporation tax set to help cover the cost of an extension to coronavirus support schemes. The Chancellor is set to announce that he is increasing corporation tax from 19p in the pound, detailing how it will rise to 23p in the pound by the time of the next general election. The increase, which is likely to include a 1% rise in Q3, is set to bring in £12bn a year. The increase in corporation tax will cover extensions to the furlough scheme, VAT cuts and business loans, with Mr Sunak reportedly pushing the end of these support measures back until August. Sources suggest that the stamp duty holiday is also to be extended in line with other pandemic-related support measures. They add that a plan to bring capital gains tax in line with income tax is not expected to b e rolled out, while changes to pension tax relief are unlikely to feature in the upcoming budget. Considering the proposed increase in taxes, the Sunday Telegraph’s Ross Clark says the suggestion that taxpayers should bear the cost of the pandemic response is “bizarre”. He adds: “It is hardly as if the tax burden is at historic lows”, or that governments in the last decade “have been particularly generous in reducing it”.
Tax plan could narrow the North-South divide
Harry Yorke in the Sunday Telegraph reports the Chancellor is considering increasing tax relief for manufacturing firms and factories, saying the move could come as part of a budget package designed to “heal the North-South divide”. Treasury officials are reportedly looking at increasing capital allowances used by businesses to reduce their tax bills, with it said this could encourage greater investment and help deliver on the Government’s “levelling up” agenda. Sources with knowledge of talks held by Downing Street’s joint economic policy unit say the proposals would “predominantly favour” towns and cities across the midlands and north of England, regions home to more heavy industries. Mr Yorke says the increased tax relief could “soften the blow” for businesses that would be hit if an expected hike in corporation tax is rolled out.
Lord Darling: Economy needs support, not tax hikes
Former Labour Chancellor Lord Darling has said taxes should not rise for at least two years, warning Rishi Sunak against strangling any nascent recovery from the pandemic. Lord Darling said in an interview for Channel 4’s Dispatches: “If you put taxes up now, you risk choking off recovery. As growth returns, it becomes a matter of judgement, but it could be two or three years before taxes go up.” The warning comes amid speculation that the current Chancellor intends to increase corporation tax from the current rate of 19p to 23p by the next election in 2024 – a £12bn raid – to help pay for the extension of business support and furlough schemes. Similar warnings have come from Isabel Stockton, economist at the Institute for Fiscal Studies and Julian Jessop, a fellow of the Institute for Economic Affairs, who said: “This is a bad idea. Most economists agree that now is not the right time to be raising taxes of any kind. Increases in corporation tax would also inevitably be passed on to savers, as lower dividends, to consumers as higher prices, and to employees, as lower wages.”
New UK taxes have raised £48bn in last ten years
HMRC has collected £48bn in revenue through new taxes in the past decade, according to UHY Hacker Young. The accountancy firm points to a slew of levies introduced by George Osborne which came alongside cuts in corporation tax and income tax introduced by the former Chancellor. The firm said the figures showed that a series of taxes under successive Conservative chancellors have “not fit in with their aim to simplify the UK tax system”. Sean Glancy, Partner at UHY Hacker Young, said: “These new taxes have been a significant burden on businesses, not just in pure financial terms, but in terms of the extra red tape that they have heaped on UK PLC. As the current Government looks at how it can pay for the cost of COVID-19, it needs to avoid the temptation of introducing new taxes.”
Hodge: Close tax loophole used by Amazon
Labour MP and tax campaigner Dame Margaret Hodge is urging the Treasury to close the loophole in the digital services tax allowing tech giants to pass on the levy to small businesses. “Our high streets and smaller businesses are desperately struggling. That’s why it’s so galling that Amazon doesn’t pay its fair share and avoids the new digital services tax, ” she said. From April 2020, companies have had to pay a 2% tax on digital ad sales, app stores and e-commerce services. However, Amazon has passed the charge on to small sellers on its site. Until an internationally agreed digital services tax is agreed, Dame Margaret says the UK Government “needs to step up and sort out the [DST] so that Amazon and others can’t shirk their responsibilities.”
McDonnell calls for tax on pandemic profits to wipe debt slate clean
John McDonnell, the former shadow chancellor, has called for a windfall tax on those who have profited from the coronavirus pandemic as a means to pay off the household debts run up during the crisis. He said the number of workers in severe problem debt is believed to have doubled to 1.2m during the pandemic. Among Mr McDonnell’s proposals is a call for a “comprehensive package of debt cancellation […] backed by a windfall tax on those that have profited from the pandemic.” Writing in the Independent, Mr McDonnell stated: “Debt is an issue neglected by politicians for too long. The time for action has come.”
Contractors hit by impending IR35 reform
Harry Brennan warns that changes to tax rules coming into force in April are leaving some self-employed workers struggling to find work. With officials looking to clamp down on “disguised employees”, changes to the IR35 regime will make firms responsible for assessing the tax status of the contractors they work with for the first time. However, analysis suggests that many large businesses are cutting ties with contractors to avoid the responsibility and overheads.
Last-minute loan blow for clubs
The Treasury has set out clauses for a £100m bail-out loan for football’s Championship, with the rescue package seemingly dependent on demands that could curb bonuses, new contracts or wage rises. Clubs were informed of a delay to the Bank of England-backed, pandemic-related loan on Thursday. An English Football League spokesman told the Telegraph it is “extremely disappointed by the developments at this late stage of our discussions”, adding that the EFL will continue to “strongly negotiate” with the Treasury to secure a solution that meets the requirements of clubs “and is consistent with the parameters other industries are being asked to meet.”
Don’t let Covid-19 bust your business!
It will if your cash flow dries up, either sooner or later.
The Credit Protection Association (CPA) has been assisting thousands of UK businesses to get paid since 1914. We have seen many financial crises, this one will be particularly deadly for suppliers for sometime to come.
CPA eases cash from tardy debtors – Efficiently, Effectively, Economically and Ethically. Above all tactfully, because maintenance of goodwill is paramount.
To meet the needs of creditors in the current crisis, we have designed a “critical care” package especially tailored for the situation.
- The annual package costs start at very low rates
- A minimum performance warranty is provided
- Several complimentary services included
Clients instruct CPA on-line via their PC or phone, completely user-friendly. Your late paying customers are told to pay you direct (not to us).
A very recent report shows a 23% increase in the number of unpaid invoices since March 11th THIS YEAR – are you getting a build-up of late payers?
Right now, overdue accounts must be a concern and CPA has a great track record of encouraging slow-payers to pay their suppliers quickly.
It takes less than 17 minutes to see how you would benefit, do you have the time now?
No face-to-face meeting required – just call Peter Uwins, CPA’s National Sales Manager, on 020 8846 0000 (business hours) or email nsm@cpa.co.uk today.
When you see your money come in, you will be so glad you used CPA.
Do you sell on credit?
With pressures on the cash flow it is essential that you stay on top of the credit limits you grant customers and watch carefully for any late payments.
Those customers will look for the easiest option to boost their cash-flow. Don’t let it be you.
You can’t just assume your customers can and will pay you eventually, no matter how big their name is.
It is essential to have credit management systems in place to monitor and check your customers credit worthiness.
It is also best practice to use a trusted third party like CPA to make sure you are paid on time by customers, no matter how good a name they have.
About CPA
The Credit Protection Association can help!
Formed in 1914, CPA has been providing credit management services to SMEs for over 100 years.
At the Credit Protection Association, we provide first class credit information that can help you avoid being over extended to customers who are at risk. Our monitoring service can flag up warning signs long before the end, giving you the chance to adjust and reduce your exposure. We provide recommended credit limits and credit scores on a traffic light system and can help you set appropriate credit policies for your customers.
We regularly publish lists of the latest insolvencies but by then it is too late. Our credit reports however predict approximately 96% of company insolvencies long before they arrive.
Companies in trouble usually have very bad cash flow and they try to deal with it by delaying payment to their suppliers, increasing your exposure to them.
If you supply on credit, help us help you identify the risks.
Why use a third party collector?
As a third party collector, we can also get your payments prioritised over those who are not as hot on collections. When your customer receives a letter from the Credit Protection Association regarding their outstanding account, they are going to want to get that resolved as a priority. Our overdue account recovery service can get your unpaid invoices to the top of their “to do” list and get your invoice paid.
Over the years we have collected billions in overdue invoices for our customers.
Our debt recovery and credit management services give our members the financial freedom needed to grow and prosper, while our new Late Payment Compensation department could unlock hidden potential and offer the compensation needed to springboard your business to success.
You might be hesitant about contacting a debt collection agency. What are they going to be like?
Can they help your particular type of business?
There is no need for concern. CPA are courteous, helpful and very probably have had direct experience of working with your type of business.
Debt collection agencies are not all alike.
Success lies in both recovering money and keeping customers happy. The Credit Protection Association was founded in 1914 and has helped tens of thousands of UK businesses to collect outstanding payments and reduce the risk of incurring bad debt. We believe that creditors deserve to be paid for the work or goods they have supplied but we fully understand the need to maintain
the best possible relationship with customers!
At The Credit Protection Association, we provide solutions, advice and back-up in all areas relating to the supply of services or goods on account. Client-members receive everything they need from a single source to reduce debtor days and write-offs.
The Credit Protection Association has helped has assisted tens of thousands of UK businesses with their credit control requirements, since the First World War.
We are polite, firm and efficient when it comes to recovering outstanding debt.
“We have used CPA for a number of years now. The website is easy to navigate around with lots of helpful reports. The staff are always at hand and very friendly. CPA has helped us reduce our debt over the years and keep track of potential issues with our customers.”
~ CPA client in Buckinghamshire
“The service from CPA has proved to be everything that you said it would be. We have already seen a huge benefit. We have had a number of overdue accounts paid promptly and directly to us. It is also a huge weight off our mind to know that once we have passed an overdue payment over to you, you take care of everything whilst keeping us informed.
~ Credit Controller client in Warrington
The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections
Ready to speak to an advisor?
For help or advice on credit management, entirely without obligation.
Call us today
0330 053 9263
CPA is passionate about late payment
The Credit Protection Association has been protecting smaller firms against poor payment practices for over 100 years.
We are extremely passionate about breaking the late payment culture that holds back the UK economy and threatens many SMEs, with cash flow difficulties being the single biggest killer of Britain’s small businesses.
If you were regularly paid late we can help. Those former customers used you to boost their own cashflow, regularly paying you late.
As a result you had extra costs, you had the distraction of having to chase payment, you had opportunity costs because your capital was tied up in their late invoices.
Under little used legislation, you are entitled to compensation for those late payments.
You put up with the PAIN – now claim the GAIN!
Now you can boost your own cash-flow.
CPA can help unearth the those hidden treasures.
We have the technology to reveal the compensation you are due and we have the extensive experience and expertise to then turn those claims into cash.
Did you know that your business is entitled to a minimum of £40 for every commercial invoice paid late to you over the past 6 years?
How many of your invoices are paid late each month – 20, 50, 100 or more?
At £40 per invoice that’s claim of £57,600, £144,000, £288,000 plus interest. The more invoices the bigger the claim!
At £100 per invoice it’s £144,000, £360,000, £720,000 plus interest.
For over 20 years, CPA has calculated and recovered Late Payment Compensation on behalf of Clients!
Yes, CPA can help you boost your business cash-flow.
Don’t let your bankers control you, contact CPA today.
The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections.
Do you realise you could be sitting on a fortune?
Late payments often result in a cash flow crunch and leave SMEs in need of a cash injection.
If you sold B2B on credit then there may be a hidden source of capital you can call on.
If you fancy an extra bit of extra cash in your business, rather than jumping through hoops with your bank, you could look to uncover the resources from an unexpected source within your own business.
Not many are aware but there could be a hidden fortune within your business, sitting there, just waiting to be uncovered and released.
We can help you uncover the pile of gold, you didn’t even know you were sitting on.
If you trade with other businesses and were often paid late then you could be entitled to significant compensation.
Under little known and under-utilised legislation your business could be due huge amounts in compensation that you didn’t even know about.
Let’s be clear – this is not a way to weaken any customer relationships you value. It is one that identifies who’s been paying late and then recover the potentially significant sums in compensation using Late Payment Legislation from businesses where the relationship has already ended.
You can pick and choose who you want us to follow up – but once we’ve agreed which companies you’d like to pursue compensation from it’s a fast process and there’s no financial outlay to you whatsoever. My team at CPA put its expertise to work to recover the compensation due and fight late payment culture.
That compensation could provide the cash boost your business needed.
But don’t delay, that compensation evaporates if not claimed within six years of the late payment.
How can CPA help?
CPA has developed a unique technology to dig into your accounting records and discover the cash injection you are due by means of compensation. The software does all the hard work. Our software interacts over the cloud with over 300 different software packages, working directly with your accounts package, just so long as it’s stored on a computer.
We recognise that most companies do not have the resources to spend time on the identification and calculation of Late Payment Compensation. Our service can produce an Analyses within just a few days with (usually) less than 30 mins of co-operation from our clients. We work directly with over 300 accounting packages but can also work with bespoke accounts packages. Indeed, speed is essential as the oldest invoices may fall foul of the 6-year time limit.
Once the Sales Ledger Analyses is made available to clients, all that is required is that management decide which commercially sensitive ex-customers to remove from the list and return it to us.
CPA then uses its years of collection experience to explain and recover the Late Payment Compensation Claims. Clients do not handle any part of the recovery process as our team will take all communications from the companies against who the claims has been made. Often, it’s simply a case of explaining the legislation, sometimes we have to go all the way and enforce the legislation through the courts.
The result is that we are realising clients’ claims worth tens and sometimes hundreds of thousands of pounds which, of course, is pure net profit. You may also be among the recipients of “hundreds of thousands of pounds” should you elect to take advantage of our services.
We do the work, you receive the cash.
If you have supplied goods and services to businesses on credit and were regularly paid late then you could be due significant sums in late payment compensation.
We are talking to companies and unearthing claims in the hundreds of thousands from former business customers who paid them late. Large business customers who abused their power to inflict unfair and sometimes illegal payment practices.
We are helping business owners who are looking to boost the returns from their business before they retire. We are helping businesses who have lost major clients after years of loyal service to get properly compensated for systematic late payment. We are helping companies that were looking to close down, who looked insolvent and finding that cash injection they need to avoid insolvency.
Those former clients who regularly paid you late can finally be made to pay.
Ready to speak to an advisor?
For help or advice on credit management, entirely without obligation.
Call us today
0330 053 9263
The Credit Protection Association is a credit management company established in 1914. If you supply goods or services on credit then we can help you!
The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections.
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The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections.