Jonathan Reynolds, business secretary, suggests Starmer himself did not decide pay for his chief of staff

The government is going to consult on '“tough” new laws designed to reduce the extent to which small firms get their bills paid late.

Making the announcement, Jonathan Reynolds, the business secretary, said late payments were “simply unacceptable” and that the new moves would help small businesses.

When the cashflow runs dry, small firms go under which is why we need to hold larger business to account with their payment practices and foster an environment that supports growth and jobs.

The government will consult on tough new laws which will hold larger firms to account and get cash flowing back into businesses – helping deliver our mission to grow the economy.

In addition, new legislation being brought in the coming weeks will require all large businesses to include payment reporting in their annual reports - putting the onus on them to provide clarity in their annual reports about how they treat small firms. This will mean company boards and international investors will be able to see how firms are operating.