Is late payment a big problem in the financial services sector?

The financial services sector is slightly better than the UK average, with 17% of invoices paid late compared to 24% nationally. However, late payment still affects freelancers and suppliers in this sector.

Can I charge interest on late invoices?

Yes. Under the Late Payment of Commercial Debts Act 1998, you can charge statutory interest at 8% plus the Bank of England base rate on any overdue business-to-business invoice. You can also claim fixed compensation of £40 to £100 per invoice. You do not need to include this in your contract for it to apply.

How can I check if a specific company pays on time?

Use the PennyFetch payment checker tool to search over 9,000 large UK companies and see their actual payment record, including average days to pay, percentage of invoices paid late, and whether their payment speed is improving or getting worse.

Industry Data

Late payment in financial services

How the UK financial services sector compares on payment practices, based on official government data from 425 reporting companies.

Overview

Financial services companies tend to be among the faster payers in the UK. Banks, insurers, and investment firms are generally well-capitalised and have structured accounts payable processes. That said, some financial services firms use their market position to impose longer payment terms than necessary.

Key statistics

Avg. days to pay

UK median: 32

Invoices paid late

17%

UK average: 24%

Companies reporting

425

of 9,336 total

Financial Services companies pay their suppliers in 24 days on average, which is 8 days faster than the UK median of 32 days. 17% of invoices in this sector are paid after the agreed terms.

Slowest payers in financial services

These are the financial services companies with the highest percentage of invoices paid after the agreed terms, based on their most recent government filing.

Company	Avg. days	% paid late
STANDARD LIFE INVESTMENTS (MUTUAL FUNDS) LIMITED	87	100%
SHOP DIRECT FINANCE COMPANY LIMITED	59	100%
HYPERION INSURANCE GROUP LIMITED	38	100%
PITNEY BOWES FINANCE LIMITED	4	100%
GE CAPITAL UK LIMITED	61	89%
MARKERSTUDY INSURANCE SERVICES LIMITED	52	88%
GAIN CAPITAL UK LIMITED	36	84%
AUTO-SLEEPERS INVESTMENTS LIMITED	33	84%
FIS BANKING SOLUTIONS UK LIMITED	29	84%
SCA INVESTMENTS LIMITED	46	83%

Advice for freelancers working in financial services

Financial services clients usually pay reliably but may require extensive onboarding and compliance checks before your first invoice is processed. Factor in the setup time when quoting for work. Once you are in their system, payment should be relatively predictable.

Frequently asked questions

Based on official government data, financial services companies take an average of 24 days to pay their suppliers. 17% of invoices in this sector are paid later than the agreed terms.

Related tools and guides

Company payment checker

Look up a specific company to check their payment record.

All industry statistics

Compare late payment across every UK sector.

Late payment interest calculator

Work out what you are owed in interest and compensation.

How to chase an unpaid invoice

Step-by-step guide with email templates.

Data from the UK Government Payment Practices Reporting service. Published under the Open Government Licence v3.0. Industry classification and analysis by PennyFetch. This page is for informational purposes and does not constitute financial or legal advice.

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