Privately-held fashion chain New Look has informed its suppliers that it is extending its payment terms from 60 days to 75 days from July onward. Managing director of finance and services at the retailer, Alastair Miller, told suppliers that the company needed to change its terms due to an “increased investment in new space”. New Look is currently expanding rapidly throughout the UK as well as into France and Belgium .

With increased expansion and capital expenditure, Miller told the FT that suppliers would eventually benefit through volume increases. Other retail chains like Asda, Debenhams and Matalan are also toughening their stance on supplier terms.