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Sir Philip Green chat Chancellor George Osborne. Contractor retail will publish its report in the manner in which officials have wasted hundreds of millions of books photo: PA

A group of companies has said the Government should scrap plans to pay suppliers more slowly.

A review of waste by Sir Philip Green, the retail magnate Whitehall asked why the Government to pay 80pc of its contracts to small businesses in five days when retailers as its Arcadia group typically pay within 45 days.

Francis Maude, the Minister is studying possible changes."We look at how we can do so pragmatique.Les under government contracts are that they should get paid within 30 days,"he said.""

The Labour Government reduced first payment up to 10 days for Whitehall and 20 days for local authorities in 2008 as part of its efforts to help small and medium-sized enterprises [SMEs] with their cash in the récession.M flow.Darling then made his additional grant for small businesses in March.

The coalition Government now seeks its own stream of trésorerie.M.Maude said: "last Government said they would pay in five days to help the company cash flow and we definitely want to continue to be useful for small suppliers.

"We will aim to small businesses to give them the best terms that we are legally required to do so."

However, he added: "East - this law for the Government to pay much more quickly that they are obliged to make to help with the huge multinational suppliers cash flow?"

"People are going to arise is right for the Government to pay much more quickly that they are obliged to make to help with the cash flows of suppliers multinational énormes.Nous have to act on behalf of the taxpayers."

Explanation of Mr. Maude caused some confusion between the lobby of the company, as the last Government said that never politics would be beneficial to small and large company Whitehall providers.

The Federation of enterprises of small said payment practices movement would be a retrograde step.

Stephen Alambritis, head of public affairs, said: "Francis Maude should ignore this recommendation by Philip Green of outset .this are classic tactic of large firms to improve their cash on the back of the suppliers flow."

He added: "David Cameron talks about the company and the small croissance.Si enterprises are not paid at the time it really démoralisant.Il is important Francis Maude it kills in the egg."

This view was supported by John Hawksworth, Chief Economist at PricewaterhouseCoopers.Il said: "one of the reasons why they shortened payment was to help small businesses [SMEs] .This companies will still have issues of capital retrieves the economy and the Government need to be prudents.Ils must be sensitive to the PME.Vous must be careful with your small suppliers in the current environment."

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