Council calls for discounts as more invoices paid in 10 days

MORE than two thirds of invoices received by the city council are now being paid within ten days.

Now council chiefs are to ask its larger suppliers to give it a discount if it continues to provide quick payment.

The Scottish Government has urged the public sector to help small firms during the downturn by paying them within ten days.

The city council said 70 per cent of its bills were paid within ten days in 2009, with over 95 per cent being paid within 30 days.

Donald McGougan, the council's director of finance, said: "If a discount of just one per cent can be achieved on 200 million of supplier payments, then savings of 2m would be achieved. Given current borrowing rates, this initiative is likely to prove advantageous to suppliers and the council."