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FREE TOOL — FOR TRADESPEOPLE

Unpaid invoice? Know what you can claim.

UK businesses have a statutory right to interest and a fixed fee on late commercial payments. Calculate it, then send a clear demand letter.

  • Business-to-business invoices
  • Statutory rates built in
  • No sign-up
Tradesman on site worried by an overdue invoice

The unpaid invoice

For invoices between businesses (for example a subcontractor invoicing a contractor).

The full amount that is overdue, VAT included.
If the contract set no date, it is 30 days after the invoice.
Reference rate for the period the invoice became overdue.
Statutory interest applies to business-to-business debts. It does not apply to what a homeowner (a consumer) owes you. If your contract has its own late-payment terms, those may apply instead.

You can claim, up to the date chosen

£0
interest plus fixed fee, on top of the invoice
  • Invoice amount£0
  • Days overdue0
  • Statutory interest rate a year0%
  • Interest to date£0
  • Fixed recovery fee£0
  • Total now due£0
  • Extra interest for each further day£0

Payment demand letter

Fill in the details and copy the letter. It uses the figures above and is written in English for the business that owes you.

This is a template, not legal advice. Check the facts and figures before you send it, and keep proof of when and how it was sent.
How we calculate this (rates checked October 2026)

Common questions

Who can charge late payment interest?

Any UK business that is owed money by another business or a public authority for goods or services. It does not cover debts owed by consumers, such as a homeowner you did a job for.

Do I need a clause in my contract?

No. The right to statutory interest exists by law unless your contract has its own late-payment terms that give a substantial remedy.

What if they still do not pay?

Send a clear demand in writing, keep records, and consider a formal claim. For larger sums, get legal advice. Our letter is only a starting point.

Will this change?

Late payment rules are under review by the government, so check GOV.UK for the current position before you rely on figures from any calculator.

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