Is late payment a big problem in the healthcare and pharma sector?

The healthcare and pharma sector is slightly better than the UK average, with 24% 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 healthcare and pharma

How the UK healthcare and pharma sector compares on payment practices, based on official government data from 313 reporting companies.

Overview

The healthcare and pharmaceutical sector has a mixed payment record. Large pharmaceutical companies are generally reliable payers, but the wider healthcare sector, including care providers and NHS-adjacent organisations, can be significantly slower. Funding pressures across the healthcare system contribute to payment delays.

Key statistics

Avg. days to pay

UK median: 32

Invoices paid late

24%

UK average: 24%

Companies reporting

313

of 9,336 total

Healthcare and Pharma companies pay their suppliers in 39 days on average, which is 7 days slower than the UK median of 32 days. 24% of invoices in this sector are paid after the agreed terms.

Slowest payers in healthcare and pharma

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

Company	Avg. days	% paid late
BESTWAY PHARMACY NDC LIMITED	75	100%
BUNZL RETAIL & HEALTHCARE SUPPLIES LIMITED	49	92%
NAPP PHARMACEUTICAL GROUP LIMITED	119	88%
HANDICARE ACCESSIBILITY LIMITED	70	87%
DERBY HEALTHCARE PLC	70	82%
LARCHWOOD CARE HOMES (SOUTH) LIMITED	41	80%
OMEGA PHARMA LIMITED	40	80%
ASPEN HEALTHCARE LIMITED	38	80%
ANCHOR CAREHOMES LIMITED	52	78%
LARCHWOOD CARE HOMES (NORTH) LIMITED	38	78%

Advice for freelancers working in healthcare and pharma

If you are supplying healthcare organisations, be aware that NHS and NHS-adjacent bodies often have different payment processes and timescales. Check whether your client is a private company, a charity, or publicly funded, as this affects how they handle payments. Private pharma companies are usually faster than care providers.

Frequently asked questions

Based on official government data, healthcare and pharma companies take an average of 39 days to pay their suppliers. 24% 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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