Responding to the Government moving forward with plans to tackle late payments, Edwin Morgan, Interim Director General of the Institute of Directors, said:
“These proposals mark a significant step forward in the fight against late payments. In particular, forcing larger firms to report on their payment practices will ensure much greater scrutiny where standards fall short, and sunlight is often the best disinfectant.
“We are delighted that the Government has heeded the IoD’s calls to make this a whole-board approach, against suggestions that responsibility be allocated to an individual board member. All board members must get to grips with this issue, and the collective nature of board decision-making is a crucial pillar of effective corporate governance.”