Streamline your payments with Straight Through Processing

1 May 25

Now you can simplify your payment processes to known suppliers, while also improving cash flow, reducing admin and strengthening supplier relationships. David Legg, head of corporate card products at Lloyds, explains.

David Legg

For public sector organisations, financial efficiency can make a real difference to the quality of support they offer. After all, the more effectively back-office functions are managed, the more resources can be directed towards vital frontline services. 

At a time of fluctuating funding and tight budgets, it’s more important than ever to have oversight and control over cash flow and liquidity. 

Payment processes are a significant part of this. Whether you’re dealing with the regular expense of road maintenance or unexpected ‘one-offs’ such as emergency repairs, a careful balance is required between paying suppliers and maintaining financial flexibility. 

That’s where Straight Through Processing can help 

Straight Through Processing (STP) offers the convenience and flexibility of credit card payments. But without the card. So you can send automated payments to trusted suppliers and then receive a single statement for all of them, which you can settle by Direct Debit.  

Traditional payment methods often involve a multi-step process: raising invoices, issuing payments and reconciling transactions. And because each stage requires manual input, there’s an increased risk of errors and delays.

STP simplifies this by automating payments through a payment service provider (PSP). The transaction can then be processed and funds deposited directly into the supplier’s merchant account. The supplier does not need to handle card details or adjust existing processes – eliminating complexity and ensuring fast, secure payments.

Card payment without the complexity

Unlike traditional card payments, STP is very straightforward to use. Instead of logging into supplier websites and inputting card details, you can send payments directly. 

Once a supplier has been set up on your system, the process is as simple as submitting a payment file and then letting STP take care of the rest – from the front-end inputting to the back-end invoice matching and reconciliation. 

STP also offers enhanced security and compliance protection. Since only the PSP handles sensitive card details, you minimise the risk of data breaches and ensure adherence to PCI DSS regulations. 

By streamlining your operations and reducing errors in this way, you’ll have more time to focus on providing vital services to your community. 

Strengthen supplier relationships

By delivering prompt and reliable payments, STP strengthens supplier relationships. Suppliers will receive clear remittance statements for easier reconciliation of payments and faster processing times. And by improving payment processes in this way, you could even open the door to more favourable pricing and service agreements.

Future-proofing public sector payments

Lloyds continues to invest in innovative Commercial Card solutions to meet the evolving needs of public sector organisations. By reducing costs, increasing efficiency and strengthening supplier relationships, STP is helping to create a more efficient and transparent payment ecosystem.


To find out how STP can benefit your organisation, visit lloydsbank.com/cardsolutions or email us at [email protected]


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Lloyds and Lloyds Bank are trading names of Lloyds Bank plc. Registered Office: 25 Gresham Street, London EC2V 7HN.  Registered in England and Wales no. 2065.  Telephone: 0207 626 1500. 

Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under Registration Number 119278.

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