Procurement Policy Note 05/15: prompt payment and performance reporting · first published 27 March 2015
This Procurement Policy Note (PPN 05/15), published in March 2015, introduces new reporting requirements on prompt payment for central government departments, their Executive Agencies, and Non-Departmental Public Bodies (NDPBs). It follows an announcement in Budget 2015. It also restates the existing prompt payment policy set out in an earlier note (PPN 08/10). The note is directed at buyers (government departments), not suppliers directly — but prompt payment rules matter to small businesses because they govern how quickly public-sector customers must pay invoices. The full detail is in a PDF that has not been parsed, so specifics on timescales and reporting metrics are not available from this summary alone.
WHO THIS APPLIES TO
THE ENKII VIEW
For SMEs, prompt payment rules are a practical cash-flow protection: if a central government buyer is required to report publicly on payment speed, there is reputational and compliance pressure on them to pay on time. SMEs should be aware this policy exists and use it as leverage if payments are delayed. However, because only the summary is available, the precise payment timescales and reporting thresholds cannot be confirmed from this document alone.
1. Check your contracts with central government buyers for prompt payment terms, and keep a record of invoice dates and payment dates so you can identify and escalate any late payments.
SMEs supplying or bidding to supply central government — Central government departments are now required to report on their payment performance, creating accountability — late payment to your business could feature in their compliance picture.
2. If a central government buyer is paying late, reference the prompt payment policy (PPN 05/15 and the underlying PPN 08/10) in any formal complaint or escalation to the department's commercial team.
SMEs supplying or bidding to supply central government — The note restates the prompt payment policy and sets new reporting requirements, meaning departments have a published obligation to pay on time — you can cite this directly.
3. Seek out and read the full PDF of PPN 05/15 on GOV.UK to confirm the exact payment timescales and reporting metrics that apply — only the summary was available for this brief.
SMEs considering bidding for central government work — The specific payment deadlines and reporting thresholds are in the full document, which was not available for this brief; knowing the precise numbers strengthens your position if payment is delayed.
Every rule below quotes the official document verbatim.
The note applies to central government departments, their Executive Agencies, and Non-Departmental Public Bodies (NDPBs). (Central government departments, Executive Agencies and NDPBs)
“central government departments, including their Executive Agencies and Non Departmental Public Bodies, must do to comply with the requirements”
New prompt payment reporting requirements were announced in Budget 2015 and this note sets out what in-scope organisations must do to comply. (Central government departments, Executive Agencies and NDPBs)
“New reporting requirements on prompt payment were announced in the Budget 2015”
This note also restates the existing central government prompt payment policy originally established in PPN 08/10. (Central government departments, Executive Agencies and NDPBs)
“It also restates the policy on prompt payment for central government (Policy Procurement Note 08/10)”
This briefing is enkii's interpretation of the official document — the official text always governs.
Source document © Crown copyright, reused under the Open Government Licence v3.0 via the GOV.UK Content API. enkii tracks every Procurement Policy Note and briefs changes the day they land — see all briefings.