Housewares Business-to-business magazine for housewares retailers and their suppliers
Tesco is set to take twice as long to pay its non-food suppliers, increasing its payment terms from 30 to 60 days.
The supermarket retailer has written to companies to tell them that, as of December 1, it will keep them waiting an extra month for their money.
Tesco finance director Eamonn O’Hare said in the letter that the company had decided on the move following “a detailed review of our non-supplier terms, with the aim of improving consistency, transparency and efficiency across our non-food supply chain”.
A Tesco spokesman commented: “This is a move to align payment terms for our larger non-food suppliers across the Tesco group which currently vary from country to country and within product categories.”
