Aberdeen City Council has launched a new early payment programme that will benefit suppliers who provide goods and services to the local authority.

The City Council is delivering this new service in partnership with Oxygen Finance Ltd, widely regarded as market leaders in Public Sector Early Payment Programmes.

The Supplier Incentive Service (SIS) will speed up the processing of invoices, which will help local businesses by improving their cash flow, while also generating an income for the council.

Under the SIS programme, payments will be made as soon as an invoice is authorised, rather than waiting for the contracted payment day.

In return for suppliers being paid early, a small agreed rebate will be deducted from the invoice value.

The rebate is proportionate to the number of days that the payment has been accelerated by, and is only applied if the early date is achieved.

All that businesses have to do is submit invoices electronically. E-invoicing reduces invoice and credit control costs, assures timely delivery and avoids risk of errors.

Aberdeen City Council’s Convener of Finance, Policy and Resources, Councillor Willie Young, said: “This is a great initiative that will help businesses to support the local economy while also generating an income for Aberdeen City Council which can then be reinvested in delivering important services to residents.”

“It is another example of the City Council using technology to become more efficient and cost effective in the way we conduct our business.”

Further details on the SIS can be found online at aberdeencity.gov.uk/services/services-business/supplier-incentive-service