Beautiful Virgin Islands

Sunday, Sep 21, 2025

The Government Should Adopt a Digital-Led Approach to Save Britain’s SMEs.

The Government Should Adopt a Digital-Led Approach to Save Britain’s SMEs.

Last year the world moved from paying lip service to digitisation to relying on it. If we are to fully embrace the benefits of digitisation then we need to leverage technology to implement strategic and sustainable change. This starts at the very top.
Earlier this year, the UK Government confirmed £800 million in funding for its ‘blue-skies’ Advanced Research & Invention Agency (ARIA) which will fund research into cutting edge Artificial Intelligence (AI) and data.

This research has immense potential to solve long-standing issues in how we store, process and harness data across both the Government and industry. However, the UK Government needs to ensure a harmonised, inclusive approach so that practical uses for the research can be identified and built in tandem with innovation across both the private and public sectors. One way for the Treasury to protect SMEs in the long term is by harnessing innovative technology through institutions such as ARIA. Adopting technology-driven solutions can ensure that SMEs build steady cash flow and resilient supply chains. This will support long-term recovery without burdening the taxpayer.

In 2019, late payments to SMEs amounted to over £23.4 billion – this figure has increased since the pandemic to a staggering £50 billion. AI enables corporates to identify and flag the very few problematic invoices while paying the rest straight away. This technology allows SME suppliers to be paid instantly while large corporates pay on their normal terms. Small businesses unlock much-needed liquidity while large corporates strengthen their supply chains at minimal cost. A true win-win for business that doesn’t cost the taxpayer a penny.

The Government has taken some steps to tackle the late payment crisis. Most recently, it appointed a new Small Business Commissioner, Liz Barclay, and strengthened the Prompt Payment Code (PPC), which reduces the time businesses must pay SME suppliers from 60 days to 30. However, its efforts fall short of the change needed to unlock the billions held up in slow payments. Technology makes it possible for all corporates to pay suppliers within 24 hours. If AI was integrated into payment systems at scale, the PPC would be rendered redundant. The Government needs to play its part in bringing about a cultural shift in B2B commerce, where prompt payment matches that of the B2C world. After all, a customer couldn’t go into Starbucks and order a coffee, promising to pay in 30 days. Punitive measures can only go so far to prompt this change. Technology is the key to unlocking a new era of equitable B2B payments.

The Government plainly understands the role of data in the UK’s future but must ensure a coordinated approach to create innovative solutions that truly benefit Britons. ARIA is often dubbed the ‘blue skies’ research agency. Aiming high in pursuit of change should certainly be applauded. However, Government inter-departmental coordination and collaboration with industry remain crucial for the agency to be effective. Harnessing AI to tackle the slow payment problem would allow the Government to stimulate an inclusive recovery without further increasing the taxpayer burden. Giving every small business the option of day one payment is just one instance of how the Government could leverage AI and data to implement genuine change.
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
EU Set to Bar Big Tech from New Financial Data Access Scheme
China Bans Livestreaming and AI in Religion Amid Crackdown on Shaolin Temple Scandal
Documents Reveal Mandelson Failed to Declare Epstein-Funded Flights as MP in 2003
Dubai Property Boom Shows Strain as Flippers Get Buyer’s Remorse
Harris Memoir Sparks Backlash from Democrats for Blunt Critiques in ‘107 Days’
Germany Weighs Excluding France from Key European Fighter Jet Programme
Cyberattack Disrupts Check-in and Boarding Systems at Major European Airports
Japan’s ‘Death-Tainted’ Homes Gain Appeal as Prices Soar in Tokyo
Massive Attack Withdraws from Spotify Over Daniel Ek’s €600M Defence-AI Investment
Björn Borg Breaks Silence: Memoir Reveals Addiction, Shame and Cancer Battle
When Extremism Hijacks Idealism: How the Baader-Meinhof Gang Emerged and Fell
Top AI Researchers Are Heading Back to China as U.S. Struggles to Keep Pace
JWST Data Brings TRAPPIST-1e Closer to Earth-Like Habitability
Trump Orders Third Lethal Strike on Drug-Trafficking Vessel as U.S. Expands Maritime Counter-Narcotics Operations
Trump Orders $100,000 Fee on H-1B Visas and Launches ‘Gold Card’ Immigration Pathway
Why Google Search Is Fading and AI Is Taking Its Place
UAE-US Stargate Project Poised to Make Abu Dhabi a Global AI Powerhouse
Federal Judge Dismisses Trump’s Fifteen-Billion-Dollar Suit Against New York Times, Orders Refile
France’s Looming Budget Crisis and Political Fracture Raise Fears of Becoming Europe’s “Sick Man”
Three Russian MiG-31 Jets Breach Estonian Airspace in ‘Unprecedentedly Brazen’ NATO Incident
DeepSeek Claims R1 Model Trained for only $294,000, Sparking Global Debate Over China’s AI Capabilities
SoftBank Vision Fund to Cut Nearly Twenty Percent of Staff in Bold AI Strategy Shift
Intel’s Next-Gen Manufacturing Gets a Lifeline from Nvidia’s Strategic $5B Deal
Erika Kirk Elected CEO of Turning Point USA After Husband Charlie Kirk’s Assassination
Massive Strikes in France Pressure Macron and New PM on Austerity Proposals
Trump Seeks Supreme Court Permission to Remove Fed Governor Lisa Cook
Hillary Clinton’s Reckless Rhetoric Fuels Division After Charlie Kirk’s Assassination
NASDAQ Rises to Record as Intel Soars More Than 20%, Nvidia Gains 3%
Nvidia’s $5 Billion Bet on Intel Reshapes AI Hardware Landscape
Trump and Starmer Clash Over UK Recognition of Palestinian State Amid State Visit
Trump’s Quip on Biden and Google Lawsuit Revives Debate Over Antitrust Legacy
Macron and his wife to provide 'scientific photographic evidence' that she is a real woman
US Tech Giants Pledge Billions to UK AI Infrastructure Following Starmer's Call
Saudi Arabia cracks down on music ‘lounges’ after conservative backlash
DeepMind and OpenAI Achieve Gold at ‘Coding Olympics’ in AI Milestone
SEC Allows Public Companies to Block Investors from Class-Action Lawsuits
Saudi Arabia Signs ‘Strategic Mutual Defence’ Pact with Pakistan, Marking First Arab State to Gain Indirect Access to Nuclear Strike Capabilities in the Region
Federal Reserve Cuts Rates by Quarter Point and Signals More to Come
Effective and Impressive Generation Z Protest: Images from the Riots in Nepal
European manufacturers against ban on polluting cars: "The industry may collapse"
Sam Altman sells the 'Wedding Estate' in Hawaii for 49 million dollars
Trump: Cancel quarterly company reports and settle for reporting once every six months
Turkish car manufacturer Togg Enters German Market with 5-Star Electric Sedan and SUV to Challenge European EV Brands
US Launches New Pilot Program to Accelerate eVTOL Air Taxi Deployment
Christian Brueckner Released from German Prison after Serving Unrelated Sentence
World’s Longest Direct Flight China Eastern to Launch 29-Hour Shanghai–Buenos Aires Direct Flight via Auckland in December
New OpenAI Study Finds Majority of ChatGPT Use Is Personal, Not Professional
Hong Kong Industry Group Calls for HK$20 Billion Support Fund to Ease Property Market Stress
Joe Biden’s Post-Presidency Speaking Fees Face Weak Demand amid Corporate Reluctance
Charlie Kirk's murder will break the left's hateful cancel tactics
×