Is late payment a big problem in the it and technology sector?

The it and technology 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 it and technology

How the UK it and technology sector compares on payment practices, based on official government data from 385 reporting companies.

Overview

The technology sector has a mixed record on payment. Large consultancies and outsourcing firms tend to have longer payment terms (often 60+ days as standard), while smaller tech companies generally pay more quickly. Freelance developers and IT contractors are often caught out by the difference between what a company says its terms are and how long they actually take.

Key statistics

Avg. days to pay

UK median: 32

Invoices paid late

24%

UK average: 24%

Companies reporting

385

of 9,336 total

IT and Technology companies pay their suppliers in 34 days on average, which is 2 days slower than the UK median of 32 days. 24% of invoices in this sector are paid after the agreed terms.

Slowest payers in it and technology

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

Company	Avg. days	% paid late
BRS SYSTEMS LTD	90	100%
JDR CABLE SYSTEMS LIMITED	50	95%
CUBIS SYSTEMS LIMITED	76	89%
GE CAPITAL UK LIMITED	61	89%
FORUM ENERGY TECHNOLOGIES (UK) LIMITED	45	89%
FIS SHERWOOD SYSTEMS GROUP LIMITED	31	86%
MAMAS & PAPAS (DIGITAL) LIMITED	39	85%
GAIN CAPITAL UK LIMITED	36	84%
SYNCREON TECHNOLOGY (UK) LTD	54	83%
QUALCOMM TECHNOLOGIES INTERNATIONAL, LTD.	44	83%

Advice for freelancers working in it and technology

Check a company's actual payment practices before agreeing to their standard terms. Many large IT firms quote 30-day terms but actually pay in 45 to 60 days. If you are contracting through an umbrella company or agency, make sure you know who is responsible for paying you and what their track record looks like.

Frequently asked questions

Based on official government data, it and technology companies take an average of 34 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.

Stop chasing. Start getting paid.

PennyFetch sends automatic invoice reminders, calculates late payment interest, and generates Letters Before Action. Free to start.

Get started free