Late payment guides

Plain-English guides for UK freelancers and agencies, based on GOV.UK guidance. Not legal advice.

• How to charge late payment interest in the UK (2026 guide)

  Step-by-step guide to charging statutory late payment interest on B2B invoices in the UK: the 8% + base rate formula, worked examples and a free calculator.

• Late payment compensation explained: the £40, £70 and £100 fixed sums

  What UK businesses can claim in fixed late payment compensation (£40, £70 or £100 per invoice), when it applies, how to add it and how it interacts with statutory interest.

• Overdue invoice email templates (UK): polite, firm and formal

  Free UK overdue invoice email templates for each stage, from a polite 1-day reminder to a firm 7-day chaser and a formal 14-day notice claiming statutory interest.

• What to do when a client won't pay an invoice (UK steps up to small claims)

  A practical UK step-by-step plan for when a business client won't pay: reminders, statutory interest, letter before action, mediation and making a small claim online.

• Late Payment Act FAQ for UK freelancers

  Plain-English answers to the questions UK freelancers ask about the Late Payment of Commercial Debts (Interest) Act 1998: rates, compensation, contracts, VAT and clients.

• Statutory demand vs letter before action: which should you send? (UK)

  The difference between a statutory demand and a letter before action for an unpaid UK business invoice, when each is appropriate, thresholds and the risks of getting it wrong.

• Letter before action for an unpaid invoice: free UK template

  A free letter before action template for unpaid UK business invoices, what it must include, deadlines and how to add statutory interest and compensation.

• Taking a client to small claims court for an unpaid invoice (England & Wales)

  How to use the small claims track and Money Claim Online to recover an unpaid business invoice in England and Wales: limits, steps, fees and what to expect.

• Can I charge a late fee on an invoice in the UK?

  Whether you can add a late payment fee to a UK invoice, the difference between contractual late fees and statutory interest, and what you can claim without a contract clause.

• Invoice payment terms in the UK: 30 days, 60 days and what's legal

  What UK payment terms you can set on business invoices, the 30-day default, the 60-day fairness rule, public sector terms and wording to use.