Defence minister hits back at late payment claims

Gurjit Degun
8 January 2014

8 January 2014 | Gurjit Degun

Defence minister Philip Dunne has hit back at claims that the Ministry of Defence (MoD) processed late payments for goods and services. 

Writing in today’s SM blog, Dunne said that the department paid almost all correctly submitted invoices within 11 days, and more than 90 per cent within five days, during the 2012/13 financial year. Legislation says that it should pay suppliers within 30 days. 

He wrote: “In fact, the MoD made only one single interest payment for late invoice settlement during the previous financial year 2011/12, and no such charges have been incurred since. This is a record that I am proud to stand behind.”

Dunne was responding to claims made last year in a national paper that the MoD has failed to pay suppliers on time. 

He added that the MoD is committed to paying its suppliers promptly, and is keen to make payments through its new electronic bill paying system wherever possible to improve efficiency and reduce bureaucracy.

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