DA from the NEPO521 FW for the Early Payments Solution

NEPO have put in place a framework agreement with Oxygen Finance Limited which allows authorities to enter into a call off agreement for an Early Payments Scheme which allows discounts to be taken from supplier invoices in exchange for early payment. The fee for early payment is a % discount offered against the gross invoice value for payment in advance of the standard 30 days.

The discount is calculated dynamically and is proportionate to how many days the payment is accelerated (number of days between invoice receipt and invoice payment sent).

The purpose of the programme is to generate new income for the council and to also help suppliers by injecting much needed liquidity into the councils supply chain, and particularly the local economy.

Stockton will be working together with Darlington Council to implement the scheme as Xentrall Shared Services act on behalf of both councils for invoice processing. This mobilisation is expected to take circa 6 months. Each council will have a separate contract with the supplier.