Navro Analysis: Modernising UK Business Payments Could Unlock £57.5 Billion in Working Capital

UK fintech Navro has identified a £57.5 billion liquidity opportunity for the British economy by modernising business-to-business payment cycles. With £575 billion currently locked in unpaid invoices, fintech professionals should note the significant pressure on legacy clearing systems to evolve as businesses seek to reclaim idle capital ahead of the 2026 Budget.

What was announced

Navro’s research, based on Office of National Statistics (ONS) data from the second quarter of 2026, highlights a massive backlog in the UK's financial plumbing. Approximately £575 billion in business-to-business (B2B) invoices remains unpaid at any given time, a figure representing 1.9% of the national GDP and roughly matching the UK’s total defence budget. The analysis suggests that by eradicating standard two-to-three-day payment clearing cycles and lowering the funds held in buffer accounts, businesses could unlock 10% of this capital—amounting to £57.5 billion.

This "idle capital" has grown by nearly £2 billion since Navro’s previous assessment last year. Beyond clearing speeds, the fintech points to further gains available through the elimination of manual processes and the integration of legacy systems. Reducing the excess liquidity currently held to mitigate risks from payment delays is also cited as a key lever for freeing up cash flow. These findings are positioned as a potential solution to the UK's fiscal challenges ahead of the Chancellor’s Budget speech scheduled for October 28, 2026.

"People expect services to move at internet speed these days. Payment processing remains a glaring exception, with three-day cycles still common for payments in the UK. As the nation searches for solutions to its precarious finances, there is one straightforward change that would release billions of pounds into the UK economy – modernising business-to-business payment systems. Five hundred and seventy-five billion pounds is an enormous sum to have locked up as idle capital."

Aran Brown, CEO of Navro

The companies involved

Navro is a UK-based fintech firm focused on streamlining complex payment and banking infrastructure. The company operates in a market increasingly defined by the need for real-time settlement and cross-border efficiency. While the broader fintech sector has seen significant shifts in recent years, Navro has maintained a focus on the underlying "plumbing" of financial services, specifically targeting the inefficiencies that lead to capital being trapped in transit. The firm’s leadership includes Aran Brown, who serves as CEO.

Navro’s position in the market is built on addressing the friction points within B2B transactions, where legacy banking systems often struggle to match the speed of modern digital commerce. By providing tools that integrate with existing financial stacks, the company aims to reduce the reliance on manual intervention and the high liquidity buffers that have historically been necessary to manage the uncertainty of multi-day clearing windows. This focus on infrastructure allows businesses to manage international payments and payroll with greater transparency and speed.

What FF News has reported before

FF News has tracked Navro’s expansion into global payroll and payout infrastructure. In early 2026, the company launched a world-first payroll service capable of handling statutory and tax requirements across 95 countries. This followed a significant expansion of its real-time payout network to 61 countries in late 2025, a move designed to help businesses transact with local efficiency in international markets. Additionally, the firm has leveraged its infrastructure through strategic collaborations, such as the partnership with MM to address the specific challenge of international pension overpayments.

What this means

This research highlights a growing tension between the "instant" expectations of the digital economy and the reality of B2B financial infrastructure. The fact that locked capital has increased by £2 billion in a year suggests that despite the rise of Faster Payments and Open Banking, the core of corporate treasury remains sluggish. For the fintech sector, this represents a clear mandate: the next wave of value won't come from new front-end interfaces, but from deep-tier infrastructure that can eliminate the need for multi-day liquidity buffers. Banks and legacy processors are under increasing pressure to justify these delays as businesses face tighter margins and a more volatile fiscal environment.