Financial transaction processing and clearing-house services

Tender description

Oldham Council operates an Early Payment Scheme (EPS), whereby discounts are taken from 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 discount is only taken if payment acceleration is achieved. The purpose of such a programme is not only to generate new income for the Council but also to help suppliers by injecting much needed liquidity into the council's supply chain and in particular the local economy. The Programme has also help to streamline existing Purchase-to-Pay (P2P) processes and maximise efficiency within the council, while supporting the council's compliance with payments legislation and its adoption of best practice. Consequently, Oldham Council is seeking to award a single supplier Framework Agreement, open to all local authorities in the UK, for early payment programme provision, offered on a modular basis applicable either to Councils without an existing programme, wishing both to implement and operate and Councils like Oldham with an existing programme, wishing to continue to operate such a programme.