In light of the worrying trend toward longer payment delays, the Minister of the Economy is considering tougher penalties. He also acknowledges the public sector’s difficulties in setting an example.
The lengthening of payment terms is a cause for concern among businesses, as evidenced by the figures from the latest ARC–Ifop survey: an average delay of 17.3 days in 2024, compared to 14.8 days a year earlier. This situation is particularly damaging to small and medium-sized enterprises (SMEs) and was widely discussed at the annual breakfast hosted by Cabinet ARC at the Pavillon Gabriel.
Faced with this issue, which has become systemic, Economy Minister Éric Lombard acknowledged the need to take stronger action. “This is an issue we take seriously and that must be addressed,” he said. In particular, the government could increase the administrative fines imposed on delinquent payers. “Everything is on the table; we haven’t decided yet, but we’ve asked the DGCCRF to make recommendations,” he explained.
Denis Le Bosse, president of Cabinet ARC, has been calling for several years for stricter penalties commensurate with the damages suffered. “Failure by major contractors to meet deadlines is suffocating thousands of small and medium-sized businesses,” he noted.
During the roundtable discussion, journalist Jean-Marc Sylvestre highlighted the current inadequacy of the fines, addressing the minister directly. The minister responded that the penalty should be “commensurate with the unfairness and inefficiency caused by these delays,” particularly when they are caused by entities with ample cash reserves.
But the government itself is far from being a role model. According to the survey, more than 55% of small and medium-sized businesses now refuse to bid on public contracts for fear of not being paid on time. The minister did not shy away from this observation: “ Of course it’s a problem; it’s a message we’re conveying very strongly.”
The gradual implementation of electronic invoicing in public procurement could, in his view, offer part of the solution . Kérine Tran, partner and managing director of Cabinet ARC, welcomes this development, while cautioning about the challenges of transition for smaller organizations: “To be effective, the modernization of processes must go hand in hand with support for businesses.”
By reaffirming his commitment to using all available tools— oversight, penalties, and setting a public example —the minister confirmed that the fight against late payments would remain a key pillar of his economic policy.