Let’s look at why late payments are such a heavy burden for SMEs and what steps can help solve this problem. Why Late Payments Are Crushing UK SMEsFor many small businesses, cash flow is crucial. The Federation of Small Businesses has repeatedly shown that late payments create more than just a temporary problem. The Government Crackdown on Late PaymentsThe UK government is taking necessary steps to help small businesses by introducing new rules. In fact, late payments take about £11 billion out of the UK economy every year.