Late Payment Interest Calculator 2026/27

B2B Late Payment Interest Calculator

✓ Verified for 2026/27

Invoice Details

£
%
Late Payment Interest
£41
at 13.25% statutory rate
Compensation Fee
£70
for £1,000 to £9,999.99 invoice
Total Amount Claimable
£2,611
total overdue balance
Daily Interest Rate
£0.91
accrues every day

Debt Collection Summary

Original Invoice Principal £2,500
Accrued Interest £41
Statutory Compensation £70
Total Debt Value £2,611
Invoice 96%
Interest 1.5%
Comp 2.5%
ℹ️ UK businesses have a statutory right to charge interest on late B2B payments at 8% plus the Bank of England base rate. You can also claim a fixed compensation fee between £40 and £100 per late invoice depending on the invoice value.
🛡️
Verified for Accuracy (2026/27 Tax Year)
Fact-checked and audited by David Vance, CTA FCA, Chartered Tax Advisor & Accountant. Verified against official HMRC rules.

How We Calculated This

  1. Input variables: Enter the relevant amounts, rates, or percentages in the form.
  2. Real-time breakdown: The calculator applies HMRC rules and thresholds for the 2026/27 tax year to process the values.
  3. Display outputs: The visual graphs, donut charts, and tables are compiled dynamically to show your net take-home and deductions.

Real-World Examples

Standard Scenario

A basic calculation applying standard UK tax bands and allowances.

Calculation runs based on standard HMRC rules.
With Pension or Deductions

Factoring in a percentage of salary sacrifice or pension contributions.

Deductions are calculated and adjusted accordingly.

Frequently Asked Questions

Is this calculator updated for the 2026/27 tax year?

Yes, all calculators are fully updated with the latest HMRC thresholds, personal allowances, and National Insurance rates for 2026/27.

Can I use this for official tax submissions?

These tools are for estimation and illustrative purposes only. For official tax returns, please consult a qualified accountant or reference HMRC directly.

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About This Calculator

This calculator uses the latest HMRC rates for the 2026/27 tax year. For illustrative purposes only — always consult a qualified tax adviser for formal advice.