Bill Debate · Second Reading

Public Governance, Performance and Accountability Amendment (Supporting Small Businesses To Be Paid On Time) Bill 2026; Second Reading

House of Representatives · Monday 22 June 2026

Official Hansard for this day (APH) · Read this debate on OpenAustralia

At a glance

The debate focused on amending procurement rules to exclude large businesses that consistently pay small suppliers late from accessing government contracts. Independent members Allegra Spender and Kate Chaney argued that the existing Payment Times Reporting Scheme had failed to improve payment behaviour and that linking procurement eligibility to payment performance would provide necessary incentives. They highlighted the financial stress caused by late payments, citing cash flow issues as a primary cause of small business insolvency. The bill proposes using existing reporting data to identify restricted payers, with exemptions for critical national interests or lack of viable alternatives. Both speakers urged the House to support the measure to protect small businesses without adding new regulatory burdens.

Summary in reported speech - not a transcript. AI-generated, so check the official record before quoting.

How the debate unfolded

Opened the debate

Allegra Spender (Wentworth) (Independent) Ind

Spender moved the second reading motion, arguing that the current Payment Times Reporting Scheme had failed to achieve behavioural change despite its noble intentions. Spender cited the Emerson review, which found no evidence that the scheme improved payment times or allowed small businesses to choose customers based on payment status. Spender proposed linking payment reporting to government procurement, preventing entities identified as slow payers from accessing contracts. The bill defines a restricted payer as one with an average payment time exceeding 30 days over three reporting cycles or one that fails to report. Spender noted that the bill includes four exemptions, such as for critical national interest or lack of viable alternatives, and commences on 1 July 2027.