A Bill to make provision to amend the statutory limits for payment of invoices; make provision for a statutory time limit for resolving payment disputes; amend interest for late payments and penalties for persistent late payments and non-compliance; prohibit specified payment practices, on-boarding and pay-to-stay; require payments becoming due under public sector construction projects to be held in project bank accounts; amend the remit, role and powers of the Small Business Commissioner in regard to late payments; provide for a duty on auditors to publish late payment data; and for connected purposes
House of Lords
5 May 2021
The Bill tightens rules on when and how invoices must be paid, introducing a statutory time limit to resolve payment disputes and harsher penalties for late payments and persistent non‑compliance. It also targets certain payment practices, requires public-sector construction payments to be held in project bank accounts, expands the Small Business Commissioner’s powers to tackle late payments, and requires auditors to publish late-payment data.
The Bill is currently at the Lords’ second reading. If it progresses, it would move to committee stage and then to the House of Commons for consideration.
Generated 21 February 2026
First reading took place on 21 January. This stage is a formality that signals the start of the Bill's journey through the Lords.
Second reading - the general debate on all aspects of the Bill - is yet to be scheduled.
The 2019-2021 session of Parliament has prorogued and this Bill will make no further progress.
No recorded votes for this bill yet.
