Payment practices and performance
Thales UK Limited (“Thales UK”) is a signatory to the Prompt Payment Code (“the Code”) administered by the Institute for Credit management on behalf of the UK Department of Business, Energy and Industrial Strategy. Thales UK has adopted the principles of the Code, which are followed by its accounting staff and communicated to, and endorsed by, it’s other members of staff.
1. Pay Suppliers on time: within the terms agreed at the outset of the contract
- without attempting to change payment terms retrospectively
- without changing practice on length of payment for smaller companies on unreasonable ground
2. Give clear guidance to suppliers
- providing suppliers with clear and easily accessible guidance on payment procedures
- ensuring there is a system for dealing with complaints and disputes which is communicated to suppliers
- advising them promptly if there is any reason why an invoice will not be paid to the agreed terms
3. Encourage good practice
- by requesting that lead suppliers encourage adoption of the code throughout their own supply chains
Additionally all signatories undertake to pay suppliers within a maximum of 60 days (in line with late payment legislation requirements), to work towards adopting 30 days as the norm, and to avoid any practices that adversely affect the supply chain.
For the 2nd Half Period July – December 2017
(Jul - Dec 2017)
(Jan - Jun 2017)
|Proportion of invoices paid beyond agreed terms (volume by percentage)||18%||13%|
|Average time (by number) taken to pay invoices from the date of receipt in days||37 days||38 days|
|Proportion of invoices paid within 1 to 30 days of receipt of invoice (volume by percentage)||49%||47%|
|Proportion of invoices paid within 31 to 60 days of receipt of invoice (volume by percentage)||46%||48%|
|Proportion of invoices paid after 60 days of receipt of invoice (volume by percentage)||5%||5%|
|Amount of interest due to late invoice payment paid in period||£1,953.44||£10.44|
|Amount of interest liable to pay (not yet paid) at the end of this reporting period||£600.00||£0|
Thales UK is committed to pay suppliers in accordance with the terms of their contract with them which is standard payment terms month of invoice plus 30 days from receipt of a valid invoice or from receipt of the goods/services (whichever is the later). There are negotiated variants.
A valid invoice is one that:
- is delivered on time in accordance with the contract
- is for the correct sum
- is in respect of goods or services supplied/delivered to the required quality
- includes the date, supplier name, contact details and bank details
- quotes the relevant purchase order reference as and when requested to comply with our No PO, No Pay policy
- quotes the relevant Thales UK “Buyer” contact details as and when requested
- delivered to Thales UK by following the specific instructions as recorded on our Purchase Orders with a default delivery point being to email the invoice and back up details to email@example.com, or delivered to:
For Thales UK Limited:
Accounts Payable Mail Code: AP004
Thales UK Limited
Thales UK offers e-invoicing, supply chain finance and Preferred Supplier lists. We do not accept or request any payments in regards to being accepted onto or remaining on our Preferred Supplier lists.
It is the suppliers’ responsibility to provide correct bank details and email addresses to Thales UK to facilitate payment. Any changes to address or bank details must be notified to Thales UK no less than 4 weeks before they take effect.
We process supplier payments throughout each week and pay our suppliers using BACS (Bank Automated Clearing System), CHAPS (Clearing House Automated Payment System), Faster Payments or Direct Debit only. Thales UK is not responsible for any delays in payments being made which are outside of our control (e.g. where our Banking Provider suffers from technical failures or otherwise delays the processing of such payments). Thales UK will advise supplier promptly of any reason why an invoice will not be paid to the agreed terms.
Remittance advice notes are emailed to the supplier once the payment has been processed.
Thales UK will endeavour to advise suppliers promptly of any disputes or reasons why an invoice will not be paid to the agreed terms. Invoices that are subject to dispute will not be paid until resolution of the dispute. Once resolved, payment will be made in accordance with the terms of the contract, this document and the Code.
Complaints in relation to the processing of payments and/or invoices should be emailed to SASPayables@uk.thalesgroup.com or as directed on the PO on contractual terms, or made by telephone on 0333 2079 970, and the relevant supplier reference number should be quoted.
Information for Suppliers
Thales UK encourages all of its suppliers to become signatories to and adhere to the terms of the Code. Details of which can be found here.
Thales UK accounts teams will ask new suppliers (and existing suppliers at the point of contract renewal) whether they currently adhere to the Code and encourage them to do so if this is not the case.
For Thales UK Limited:
T: Payments: 0333 2079 970
T: Procurement: Hannah Cowley 07974 222290