The Association of Independent Professionals and the Self Employed (IPSE) has voiced its concerns over the taxing issue of late payments.
Showing its support for the Federation of Small Businesses (FSB) and the Institute of Directors (IOD) as well as the number of contractors affected by this, the body highlighted that a survey it commissioned with ComRes showed some rather worrying results.
Out of 1,000 self-employed professionals and what the IPSE refers to as ‘traditional employees’, 79 per cent are keen to support strengthened rules which would help to prevent late payments. Interestingly enough, the survey also found that 78 per cent would also like to see a way in which small businesses could settle such disputes without having to resort to court action.
Simon McVicker, director of policy and external affairs at IPSE, said: Late payment is inexcusable, shameless and completely unfair. Independent professionals don’t receive regular income like employees and therefore rely on being paid on time to keep their business afloat.…
The IPSE also highlighted that late payment is something that rates highly on its manifesto because of the fact that it is an issue that can have rather negative effects on the self-employed and is something that must be brought to attention, particularly in the run up to the General Election.
Of this, Mr McVicker said: The Conservatives are taking steps in the right direction by acting on IPSE’s proposal for a small business conciliation service and enforcing the Prompt Payment Code, but we still must put pressure on big businesses to do the right thing when it comes to paying their suppliers.…
Mr McVicker also added that he hoped all the major parties would agree to the Prompt Payment Code as well as the IPSE’s small business conciliation proposal.
Late pay means microbusiness owners get caught in a catch-22 situation – they rely on regular pay but can’t excessively chase payment because it ruins relationships. We will continue to work with Government and business to ensure the culture of payment is radically changed across the board,… he added.
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