Guidance

No Purchase Order, No Pay Policy

Published 9 January 2023

DWP operates a ‘No Purchase Order, No Pay’ policy.

This means that DWP won’t pay you unless you quote a valid DWP Purchase Order number on your invoice. This policy aims to strengthen financial controls and increase compliance.

1. The policy – who it covers

The policy covers all DWP suppliers unless you operate with us under an exception agreement. 

2. Exceptions

We will not apply this policy if you invoice us using a ‘feeder file’.

A ‘feeder file’ is a non-purchase order structured batch invoice file. It needs to be approved by DWP, and then tested and approved again by Shared Services Connected Ltd (SSCL).

Other exceptions include:

• rent, rates, and property lease
• special compensation payments
• grants
• medical or doctor’s fees (claimants)
• financial transfers and reimbursements (non-procurement activity)
• payments through the Provider Referral and Payment (PRaP) system (Welfare to Work Programme)
• payments where the agreed channel is a SOP Payment Form (Welfare to Work Flexible Support Fund)
• foreign payments
• configurable print that is booked through DWP’s contracted supplier
• interviews booked through DWP’s contracted supplier (clinical or medical)
• interpreters that are booked through DWP’s contracted supplier
• temporary contractors that are booked through DWP’s contracted supplier (personal or special)
• postal and courier services booked through DWP’s contracted supplier
• reward and recognition booked through DWP’s contracted supplier
• staff travel that is booked through DWP’s contracted suppliers
• Credit notes for digital contracted suppliers, where the agreed channel is the non-PO Invoice Approver Workflow

2.1 If you are not a supplier

You could be recognised as a supplier in our accounting system if you have received payments or grants from DWP in the past. If you don’t provide goods or services, please ignore any letters that are sent to you.

3. Purchase orders

Our shared service provider, SSCL, will send you your purchase order.

This will be sent to you before you start providing any goods or services to DWP.

The purchase order will be emailed to the email address you gave in your supplier details, but SSCL can send it in the post if you don’t have an email address. You can confirm a purchase order over the phone too, but make sure you get a physical or digital copy for your own records.

If the details are wrong or you don’t understand the information on your purchase order, you need to contact the person who placed the original order for you. Their details will be on the purchase order and if it’s needed, they can clarify the details for you or cancel the order to issue a replacement.

If you didn’t receive your purchase order, get in touch with the person who made the verbal or email order and ask for it to be sent again. When you contact them, you can also ask them to confirm the purchase order number.

Once you receive your purchase order, the purchase order number must be quoted on the invoice, and then emailed to SSCL who will arrange for it to be paid.

4. Invoices

4.1 What needs to be on your invoice

To make sure your invoice is processed correctly, you need to make sure it clearly displays the word ‘invoice’.

It should also include:

• invoice number (or unique identification number)
• purchase order number
• company name, address, and contact details
• name and address of the department or agency you’re invoicing
• clear description of what you’re charging for
• date the goods or service were provided (supply date)
• date the invoice was created
• amount being charged (this could be one or more)
• VAT amount (if applicable)
• total amount owed

You also need to make sure your invoice:

• only contains items that are on your purchase order
• gives descriptions that match the ones on your purchase order
• gives us the supplier details that match the ones on your purchase order

If any of this information is missing, the invoice will be sent back to you.

5. Sending your invoice to SSCL

Send your invoices to SSCL by email: APinvoices-DWP-U@gov.sscl.com.

Your email should:

• be less than 4mb in size
• only contain one invoice per attachment (multiple invoices can be attached to one email)
• give SSCL any supporting information in the invoices PDF file (for example, backing data)
• open files (not encrypted or password protected)

If your invoice doesn’t meet these requirements, it won’t be processed and will be sent back to you.

6. Processing an invoice

The majority of invoices are paid without any issues, but an invoice might be returned to you or held in the finance system whilst waiting for further action.

7. The validation requirements

When you quote a purchase order number on your invoice, the system will try to ‘match’ it to the purchase order number it has on record.

Invoices are validated on our finance systems. If the validation fails, the payment will be put on hold.

We may not be able to validate it because:

• the invoice amounts are higher than the amount on the purchase order (price, quantity or total)
• there are more lines on the invoice than lines on the purchase order
• DWP haven’t confirmed they have received the goods or services yet

8. Payments

We aim to pay you 30 days after we receive your invoice.

If an invoice doesn’t meet the requirements or doesn’t pass validation, it will be sent back to you.

We will also dispute your invoice if the information you provide is wrong. If we dispute it, it will delay your payment.

If an invoice is disputed, we will always send it back to you with a letter that explains the reasons why.

The reason could be:

• the invoice number was not quoted
• the purchase order number was not quoted on the invoice
• the purchase order number is out of date (‘finished’ or ‘closed’)
• the purchase order number does not match the DWP issued order
• the purchase order number does not match the description or dates on the invoice
• more than one purchase order number has been quoted on one invoice
• more than one invoice is given in a single PDF document

If you need to speak to someone about a dispute, you can send an email or speak to someone on the phone.

Email: APinvoices-DWP-U@gov.sscl.com

Phone: 0345 241 5352 (select option 2)

Monday to Friday 8am to 6pm

If you want to contact SSCL on the phone, you need to select option 2 from dialling options you are given.

9. Further information

If you have any queries about invoicing, please contact your DWP business contact or email DWP-finance-ap-enquiries@gov.sscl.com

If you have any other questions that aren’t covered in this policy, you can contact the DWP Purchase to Pay team. Please email purchase.2pay@dwp.gov.uk.