Accounts Payable controls that stop errors and duplicate payments
Errors, overpayments and fraud cost time and money, and they damage confidence in finance operations. Our recent masterclass focused on practical ways to improve Accounts Payable controls, from supplier data checks to duplicate payment prevention and statement reconciliations.
Here are some helpful key points to guide you through practical steps you can easily take.
Supplier master data
Strong collections and accurate payments start with clean supplier records. Names, addresses, VAT information, payment terms, and bank details must be accurate, verified, and kept up to date. Otherwise, you become prone to rework, missed credits and the risk of paying the wrong account. The session underlined simple but effective controls, including independent bank checks, segregation of duties for setup, and change verification outside the invoice itself.
Live poll insights suggest that teams are already moving in the right direction: 64% of attendees said they continually review supplier data during payment validation, and 89% verify bank details at supplier setup or change.
Duplicate payments: common causes and how to stop them
Duplicate payments are more common than many expect. Studies suggest nearly two-thirds of UK finance professionals receive duplicate invoices, and around 1% of invoices paid are duplicates, which is a material loss at scale.
Our APA masterclass shared real examples: £340,000 over seven transactions where both pro-forma and actual invoices were paid, plus another £90,000 in the same scenario, and further overpayments of £67,000 and £74,000. These were not caused by negligence, but by process gaps such as supplier variations, manual keying differences, and refunds not linked back to the original invoice.
Practical fixes you should consider include:
- Enforcing a three-way match with a no-PO, no-pay policy
- Switching on automated duplicate-detection in your ERP
- Monitoring aged creditors and credit balances so refunds are requested promptly
- Team training and standardised input rules reduce keying differences that allow duplicates to slip through
It is also important to complete a spend analysis and recovery audit, ideally every 3 years, to identify and recover overpayments, duplicate payments and credit balances you are unaware of. This exercise will highlight any process gaps, flaws, and control weaknesses, helping you strengthen governance and reduce the risk of future duplications.
Statement reconciliations that pay back
Supplier statement reconciliation is often seen as “admin-heavy”, yet it is one of the most reliable ways to find missed credits and match gaps before they turn into losses. Best practice is regular, repeatable and data-driven, with automation doing the heavy lifting so your team can focus on exceptions and supplier follow-up.
The masterclass example is compelling: analysing two million invoices flagged £1.3 million in unclaimed credits and duplicates, with £800,000 already recovered. That is a direct financial return from better reconciliations.
Additional controls that raise assurance
Two themes were repeatedly emphasised. First, use KPIs and regular reporting to spot early signals, such as spikes in duplicates or late payments due to missing receipts, then trace the root cause. Second, train everyone involved in the purchasing and payment process, not only the AP team, so that good practice is consistent across the organisation.
Our Mastering Accounts Payable controls checklist provides practical reminders: remove access for leavers quickly, maintain segregation of duties, and standardise workflows to reduce manual errors and rework.
What good looks like
- Complete and current supplier data, with independent bank verification and clear change controls
- Live duplicate-detection, three-way match and a standing no-PO, no-pay policy
- Regular statement reconciliations for high-spend or high-risk suppliers, supported by automation
- Proactive aged-creditors reviews, with clear notes and ownership for recoveries
- KPIs and training across teams to keep controls visible and effective
Put this into practice
Taken together, these steps reduce errors, recover cash and cut noise for AP teams, while improving relationships with suppliers.
If you have any questions or would like to explore how these controls can be applied in your setting, we’re happy to discuss.
