Payment Practices and Performance reporting to include retention data

Introduction

Businesses who meet certain criteria have a duty to report on their payment practices and terms, under what is called the ‘Duty to Report on Payment Practices and Performance’. Qualifying NFB members (typically those who are medium sized companies and above) will most likely have been doing this now for some years, as the duty began in 2017.

As a reminder, the criteria for those who have to report is at least two of the following:

• a turnover of £36 million+
• £18 million balance sheet total
• 250 employees

Changes to the Duty

That duty is now changing, and expanding, and will include retentions data too (for clients and contractors). These new regulations will come into force on 1^st March 2025 and then apply to every financial year on or after 1^st