The new research from Hitachi Capital Business Finance found that the late payment crisis is so bad that 27% of UK small business owners are forgoing paying themselves a wage so they can pay their staff on time. The research also revealed that 52% of small business owners are experiencing pain because their customers and suppliers are not paying their bills on time.

At a time when there are calls for the Government to do more to tackle the late payment crisis that hits small businesses particularly hard, the Hitachi Capital research reveals that 63% of SMEs are dealing with late payment and this is having a profound impact on their ability to conduct business.

“The industry and policy makers have been aware of the late payment issue for some time but our new research offers insight on its impact on small businesses. It’s gone well beyond being an inconvenience: late payment is putting jobs at risk, damaging the supply chain – and when small business owners have to sacrifice their own monthly paycheck you know the pain is really hitting home,” said Gavin Wraith-Carter, Managing Director at Hitachi Capital Business Finance.

Key findings: