What plans it has to ensure that bodies in receipt of public funding pay all invoices on time.

All public bodies are subject to the provisions of the Late Payment of Commercial Debts (Interest) Act 1998. For an initial period, the Act provides that small firms have a statutory right to claim interest in respect of the late payment of invoices from large businesses and the public sector. From 1 November 2002, all businesses will be able to claim interest in respect of debts incurred under contracts agreed after that date. The Act provides a powerful incentive, to both the public and private sectors, to improve standards of payment performance.In respect of the Scottish Executive, in 1998-99 98% of all valid invoices were paid on time. Equivalent figures for the current financial year are not yet available, but are expected to be at around the same level. In November 1999 I launched the Government Procurement Card for the Scottish Executive. Suppliers paid using the card will normally receive payment within four days, compared to 30 days under traditional invoicing arrangements. As use of the card becomes more widespread I expect it will help us improve our performance still further.Payment arrangements between non-departmental public bodies (NDPBs), health bodies and local authorities are a matter between them and their individual suppliers. However, for NDPBs and health bodies it is a requirement of their financial procedures that invoices are paid promptly. In respect of local authorities, at my request, CoSLA wrote to all local authorities on 1 October 1999 reminding them of the Late Payment of Commercial Debts (Interest) Act 1998 and of the importance of paying invoices promptly.