Press Release: SMEs: Damaging late payment culture due to end on 16 March

Every day across Europe, dozens of small and medium sized enterprises (SMEs) go bankrupt as their invoices are not paid. As a result jobs are lost and business opportunities remain unexploited, stalling our return to economic growth.

To end late payments the European Union therefore adopted Directive 2011/7/EU on combating late payment in commercial transactions. By 16th March 2013 Member States will need to have integrated the revised Late Payments Directive into their national law.

It obliges public authorities to pay for goods and services within 30 calendar days or, in very exceptional circumstances, within 60 days. Businesses should pay their invoices within 60 calendar days, unless they expressly agree otherwise and if it is not grossly unfair to the creditor.