The current Faster Payments policy focuses on paying registered small businesses with government contracts within 5 business days. The pilot program will look at extending the policy to ensure larger companies providing goods and services to the NSW Government also pay their suppliers in a short timeframe.
The NSW Government will work with many suppliers to pilot the policy. This will help the government to gain insights on policy parameters, including the definition of small and large businesses and other implementation measures.
The pilot program is expected to be completed by June 2021. A NSW Government-wide policy is expected to be introduced following the pilot program.
Minister for Finance and Small Business Damien Tudehope said the NSW Government wants to do better when it comes to getting small businesses paid on time.
“Faster payments help businesses stay in business and that helps keep people in jobs, which is really important as we plan for a post-pandemic future,” Mr Tudehope said.
Find out more about the current Faster Payments program.