Housing Associations (HA’s) registered at Companies House who qualify as large Companies will have to report under Payment Practices Regulations (PPR).
Large Companies that exceed at least two of the following three thresholds in the last two preceding financial years have to report:
– Annual Turnover of £36 million
– Balance Sheet total assets of £18 million
– 250 employees
Many HA’s are likely to qualify via the total assets and the employee thresholds.
The Annual reports of HA’s often include a statement to the effect that liabilities are paid when they fall due.
This will be tested by the PPR report.
Those Companies reporting to date, pay 31%, (on average) of their supplier invoices after they fall due (aka late).
The good news for those HA’s with a 31 March year-end, is that they will not have to report their six months activity through 30 September 2018 until 31 October 2018.
These HA’s, therefore, have some time to get ready to act on their payment practices and report.
We’ll be at the NHF, Housing Finance Conference and Exhibition talking about how accounts payable software can give you control over when you chose to pay your suppliers and help with compliant PPR reporting.
Are you ready for the Payment Practices Regulations reporting?