The new e-invoicing law in the UK makes it mandatory for public sector companies to process invoices from suppliers electronically. With the new statute, the UK Government’s “Public Procurement (Electronic Invoices etc.) Regulations 2019” make e-invoicing mandatory in the public sector.
While the requirements for central governments were already enforced in 2019, local governments wouldn’t have to switch to e-invoicing until April 18, 2020.
Contracting authorities must stipulate in contracts that they are obliged to accept and process invoices that meet the technical standard for electronic invoicing.
The directive aims to regulate the use of different electronic invoice formats in the member states by introducing a standard to avoid complexity and additional costs.
Especially in challenging times like these, when we’re depending on stable supply chains more than ever, the UK e-invoicing legislation is an important first step towards strengthening communication between suppliers and buyers.