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Kingdom signs up to Prompt Payment Code

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Kingdom is pleased to announce that we have signed up to the Prompt Payment Code (PPC). The code sets out the standards for payment practices and best practices and covers prompt payment as well as wider payment procedures. Being an approved signatory to the Prompt Payment Code means that we can use their logo on our documents and website to show that we are serious about good payment practice.

The Prompt Payment Code is administered by the Chartered Institute of Credit Management (the largest professional credit management organisation in Europe) on behalf of the Department for Business, Energy and Industrial Strategy (DBEIS), and compliance is monitored and enforced by the Prompt Payment Code Compliance Board. It is supported by C2FO, RBS (The Royal Bank of Scotland), HSBC, Lloyds Bank and Taulia.

As outlined on the Prompt Payment Code website, companies that have signed up to the Prompt Payment Code undertake to:

1. Pay suppliers on time

  • Within the terms agreed at the outset of the contract
  • Without attempting to change payment terms retrospectively
  • Without changing practice on length of payment for smaller companies on unreasonable grounds

2. Give clear guidance to suppliers

  • Providing suppliers with clear and easily accessible guidance on payment procedures
  • Ensuring there is a system for dealing with complaints and disputes which is communicated to suppliers
  • Advising them promptly if there is any reason why an invoice will not be paid to the agreed terms

3. Encourage good practice

  • By requesting that lead suppliers encourage adoption of the code throughout their own supply chains.

As well as these three undertakings, companies that have signed up to the Prompt Payment Code also undertake to pay their suppliers within a maximum of 60 days, in line with late payment legislation requirements. Paying invoices within 60 days is a requirement unless there are exceptional circumstances. This undertaking is met if the company pays 95% of invoices within the 60-day period.

Signatories to the code also agree to work towards adopting paying suppliers within 30 days as the normal, and to avoid any practices that adversely affect the supply chain.

By paying promptly there is a real benefit to both suppliers and their customers. The benefit to the supplier is obvious, and the benefit to the customer is that they may receive more favourable pricing or service from their suppliers because of paying promptly, which in turn makes them more competitive.

To become a signatory to the Prompt Payment Code, Kingdom needed to nominate five referees, who were then contacted to confirm their payment experience with us. Following confirmation from them that we pay promptly, we became an approved signatory to the Prompt Payment Code on the 22nd June 2018. The Prompt Payment Code will contact our referees every six months asking them to confirm our continued support of the Code’s principles.

To find out more about the Prompt Payment Code, please visit their website http://www.promptpaymentcode.org.uk/

Kingdom remains steadfast in its “commitment to quality” (C2Q) by embracing five key components: Safety, Health, Environment, Service and Outcomes. As a supplier to brand focused customers, our investment and dedication to quality and safety is taken extremely seriously. We regularly access experts in their field to openly audit and challenge us, and when we do well, recognition follows.

To find out more about Kingdom and all our services, please visit http://www.kingdom.co.uk/ or call us on 0845 051 7702.


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