Late payment demands (LPD) shot up 24.6% in H1 compared to the same period last year, according to commercial debt recovery specialist law firm Lovetts.

Lovetts’ analysis revealed that in Q2 2010, late payers received an extra 29 days to pay before beginning a claim to recover the debt compared to Q2 2009.  
 
Charles Wilson, chairman and managing director of Lovetts, says: “While we would expect to see a lengthening of payment times following one of the worst recessions in recent times, we would encourage all suppliers to keep their eye firmly on the ball when dealing with their customers. Just one large outstanding payment could have a serious impact on cash flow, the knock-on effect causing long term damage to the reputation with its own suppliers as well as on its credit status.”