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Trade Council · Council brief
When late-payment laws exempt trade contracts
The UK Late Payments Bill was introduced in the House of Lords on 19 May 2026, but the dossier records an exemption for import and export contracts. For small traders, the boundary between domestic payment protections and cross-border trade can matter as much as the headline rule.
What happened
On 19 May 2026, the UK Late Payments Bill was introduced in the House of Lords; the dossier records that import and export contracts are exempt.
- The UK Late Payments Bill was introduced in the House of Lords on 19 May 2026.
- The dossier says the Bill exempts import and export contracts.
- Separately, the EU’s CBAM simplification uses a 50-tonne annual mass threshold from 1 January 2026, removing about 90% of importers from the measure while retaining about 99% of emissions in scope.
What it means for small businesses
A business should not assume that a payment-law protection covering domestic transactions also applies to a cross-border contract.
Small traders need clear answers about which transactions are covered, when rules take effect, and what practical steps they should take.
Reseated’s Trade Council is developing a position that calls for size-based thresholds, plain-language guidance and phase-ins for small traders, alongside transparent landed-cost information from forwarders.