Latest data shows improvement in jobs growth but slight deterioration in wages and payment times
Xero releases a quarterly report, Xero Small Business Insights (XSBI), using anonymised and aggregated data from hundreds of thousands of small businesses to track the performance of small businesses, which can help accountants understand the sector.
The latest XSBI for the UK shows an improvement in jobs and sales growth across small businesses. This has been largely offset by increasing late payments and a slowdown in wages growth. Small firms were paid, on average, 7.9 days later than the agreed payment terms in June 2023.
ACCA recently responded to consultations on the Payment Practices and Performance Regulations and the review of the Small Business Commissioner.
ACCA supports the extension of the Payment Practices and Performance Regulations. We believe there is a merit in strengthening certain aspects of the late payment landscape, such as the inclusion of payment performance in supply chain reporting, maximising the information available to small firms, and enhancing the role of the Small Business Commissioner.