United Kingdom: AB InBev UK Criticized for Late Supplier Payments

Despite reporting a strong financial performance (inside.beer, 26.2.2025), AB InBev UK has been listed among the worst payers in the UK, taking an average of 121 days to settle invoices with suppliers. The data, published in the Good Business Pays "Spring 2025 Late & Slow Payment Watchlist," reveals a worrying trend of delayed payments among large corporations, with the number of businesses exceeding 100-day payment periods reaching a record high.

While the beer giant has seen a 10.1% increase in fourth-quarter profits, surpassing analyst expectations of 7.7%, its slow payment practices have raised concerns within the industry. According to the Good Business Pays report, AB InBev UK is one of 32 companies now taking more than 100 days to pay suppliers, up from 27 in February 2024.

The issue of late payments is becoming increasingly problematic in the UK, where 23,872 company insolvencies were recorded in 2024. The number of UK breweries has also declined by 100 in the past year, as highlighted by the SIBA UK Brewery Tracker, which attributes closures to economic pressures, restricted market access, and financial instability.

Industry leaders have called for urgent reforms. Good Business Pays CEO Terry Crosby criticized the situation as a "systemic failure in corporate accountability," while Federation of Small Businesses policy chair Tina McKenzie urged the government to enforce stricter oversight on payment practices. UK Small Business Commissioner Liz Barclay warned that extended payment terms can push suppliers toward financial distress, ultimately harming the wider economy.

In areport filed in July 2024, AB InBev UK stated that its payment terms are negotiated individually with suppliers based on various factors, including company size and the nature of the service provided. The company acknowledged that 78% of its invoices were paid after 61 days or more, with only 2% settled within 30 days. While it offers an online dispute resolution portal for suppliers, AB InBev UK has not signed up for any formal payment standards such as the Prompt Payment Code.

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