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Image header Agence Europe
Europe Daily Bulletin No. 10128
Contents Publication in full By article 17 / 31
GENERAL NEWS / (eu) ep/internal market

MEPs back idea of all public authorities except hospitals being forced to pay their suppliers within 30 days

Brussels, 28/04/2010 (Agence Europe) - MEPs on the European Parliament's internal market committee adopted a draft report on Wednesday 28 April by Barbara Weiler (S&D, Germany) on the draft directive to beef up EU rules on invoice payment deadlines. They follow the European Commission's suggestions of introducing across the EU a 30 day maximum payment time for public authorities to pay their suppliers bills (see EUROPE 10042), also agreeing that longer time should be granted where both sides agree and where the nature of the contract objectively justifies it, but they say public authorities would never have longer than 60 days to pay their invoices. An amendment tabled by three MEPs in the EPP Group had been endorsed that would automatically give public healthcare establishments and public medical and social work bodies 60 days to pay their bills. The EP committee has removed the option of companies suffering from late payment claiming damages by adding 5% to the sums due, echoing the Council of Ministers' hostility to what it sees as disproportionate penalties. The MEPs call for companies to be entitled to levy a standard €40 penalty on clients, whether they be other companies or public authorities, to cover the costs caused by late payment and debt recovery costs. The day before the vote, Weiler told a number of reporters that one must not ignore the fact that the directive is supposed to help small businesses improve their cash flow and improve their business opportunities. At the end of the week, it will be decided when the report will be voted upon by the EP plenary. If the vote is in May 2010, then agreement with the Council in first reading looks unlikely. The rapporteur would prefer a vote in the June plenary to leave enough time for informal inter-institutional talks. (M.B./transl.fl)

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