Statutory interest calculator
Work out the interest and fixed compensation you can add to overdue business invoices under the Late Payment of Commercial Debts (Interest) Act 1998. Add each invoice with its own amount and due date.
Rate is fixed for each debt: the base rate on 31 December (debts due January to June) or 30 June (debts due July to December).
Your invoices
What you can claim
| Invoice | Amount | Due date | Days late | Statutory rate | Interest | Compensation | Total due |
|---|
An estimate for guidance only, not legal advice. Statutory interest applies to most business-to-business contracts for goods or services, unless the contract provides its own substantial remedy for late payment. It does not apply to sales to consumers.
Enter at least one invoice amount and due date to see your calculation.
About these amounts
- Statutory interest at 8% above the Bank of England base rate, from the day each invoice became overdue.
- Fixed compensation per invoice: £40 under £1,000; £70 from £1,000 to £9,999.99; £100 for £10,000 or more.
- Reasonable recovery costs if your actual costs of recovering the debt are higher than the fixed compensation.
No court order is needed. Include the figures in your letter before action. For more detail, see our statutory interest guide.
When is an invoice overdue?
On the payment date in your contract. If none was agreed, 30 days after the later of delivery (or the work being done) and the customer receiving the invoice.
If the invoice is disputed
A dispute does not remove the right to statutory interest and compensation. If the debt turns out to be owed, they run from the original due date. The dispute itself still needs resolving: if both businesses agree, Dispute Neutral gives a binding decision within 10 business days of the matter being ready. See our unpaid invoice recovery guide.
Get a binding decision in 10 business days
Fixed fees from £650 + VAT. Both businesses agree, send their documents, and an independent lawyer decides.
Prevent the next one: add our free clause to your terms of business.