Free tool
Late payment interest calculator (UK)
Enter the invoice amount and the date it was due. We'll work out the statutory interest and fixed compensation you can claim from a business customer under the Late Payment of Commercial Debts (Interest) Act 1998. No sign-up needed.
What are you owed?
- Days late
- 76 at 11.75% p.a.
- Statutory interest
- £61.16
- Fixed compensation
- £70.00
- Total you can claim
- £2,631.16
8% + Bank of England reference rate (3.75%). Source: GOV.UK. B2B only; not legal advice.
How it's calculated
Interest runs at 8% a year plus the Bank of England reference rate (3.75% for the current period), calculated daily from the day after the due date. Compensation is £40 for debts under £1,000, £70 up to £9,999.99 and £100 for £10,000 or more, per invoice. Figures are a guide only and apply to business-to-business debts. Source: GOV.UK.
Next steps: how to charge late payment interest, letter before action template, statutory demand vs letter before action.
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