06 November 2008 | Jake Kanter
Devon County Council plans to speed up its supplier payment times by 10 days.
The authority will now pay vendors within 20 days. The council spends around £400 million on goods and services every year and has taken the action to help local businesses battle though the current financial crisis.
It made the reduction after learning retailer Tesco plans to lengthen its payment times for non-food suppliers from 30 to 60 days (Web news, 30 October).
Tim Jones, chair of the Devon and Cornwall Business Council, said: "This is absolutely appropriate, reflecting the difficulties that small businesses are experiencing in terms of their cash flow management. The council is yet again leading by example."