Over a year ago, cash strapped small businesses were given a pledge by Lord Mandelson stating that Government departments would pay trade invoices within 10 days. Research recently carried out by Graydon amongst 320 companies supplying government departments says that 98% fail to get their money within the promised time frame. Worse, some 60 odd percent say they are paid later than 30 days after the invoice date.
Was this government pledge another example of government rhetoric aimed at calming the nerves of the business nation in the midst of a severe recession, without any real hope of proving deliverable?
Some would argue that this policy follows in the footsteps of the Top up Credit Insurance scheme and the Enterprise Finance guarantee Scheme- other “Made in Recessionary UK” products that really failed to deliver what they were meant to, to help the country through the downturn.
All these government initiatives, whilst laudable in conceptual terms, have clearly demonstrated that government machinery does not readily respond to the demands made of it by its bosses, and brings to mind the rather amusing antics of the senior civil servants in that never to be forgotten comedy series “Yes Minister”. The PM and his cabinet colleagues may think they’re in charge, but who really pulls the strings of power in this country of ours?
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies
Smith & Williamson has been appointed administrators of charity 4Children