A COMPANY director who is struggling to survive the credit crunch is furious Essex County Council has broken a promise to pay businesses within 21 working days.

Des Cross, director of Anglican Care, a care provider in Church Road, Benfleet, said his firm is owed about £2,000 by the council for receipts dating back as far as the end of August.

He said the payment was vital to ensure his business paid utility bills and staff at a time when credit is hard to come by.

Mr Cross said: “I think it’s really irresponsible in the current climate. It has known about the outstanding money for months.

“We are heading for almost three million unemployed and I can’t see the point failing to pay us on time.

“We are in the fortunate position we have enough money to get us through, but it won’t be easy.”

Katie Canning, of Essex County Council, said businesses were usually paid within 30 days, but Anglican Care’s cash had been delayed due to a problem registering the company on the council’s payment system.

She said: “Rest assured they will get payment, it’s just something we haven’t got on our system yet.”

A new Essex County Council initiative in October was started to reduce payment times from 30 days to 21 in order to help small firms struggling with the credit crunch.

A Federation of Small Businesses survey found that last year the council spent 46 per cent of its revenue budget buying goods and services from local companies, some £276 million.