Late payment interest calculator
Calculate the interest and compensation you can claim when another business pays you late.
Blank means today is used.
Enter the due date first and we will tell you which date to look up.
Fixed compensation
£70
Per invoice: £40 under £1,000, £70 from £1,000 to £9,999.99, £100 from £10,000.
Statutory interest
Enter the due date to see how many days late it is.
This applies to payments between businesses, unless your contract sets its own reasonable terms for late payment. Interest runs from the day after the due date. Check the details on GOV.UK and take advice before relying on this for a large debt. General information, not legal advice.
How it works
Under the Late Payment of Commercial Debts (Interest) Act 1998, a business that is paid late by another business can claim statutory interest, and fixed compensation for the cost of recovering the debt, unless the contract sets its own reasonable late payment terms.
Statutory interest is 8% plus the Bank of England base rate, charged on the invoice total for each day it is late. Fixed compensation is £40 for debts up to £999.99, £70 for debts from £1,000 to £9,999.99 and £100 for debts of £10,000 or more, per invoice.
The base rate used is the one on 31 December for debts falling due from 1 January to 30 June, or on 30 June for debts falling due from 1 July to 31 December. Enter the due date and the calculator tells you which date to look up. We do not fill in the rate for you, because it changes.
Related: How to chase late-paying clients, Debtor days calculator
Stop chasing late invoices by hand
Cadence ranks overdue invoices by amount and age, and drafts the reminder for you to review and send.
Start free trialIllustrative calculation, not legal advice.