Late payment interest rates to be revised
The HMRC has confirmed that it will revise interest rates for late payment following the Bank of England’s rate reduction to 0.25 per cent.
HMRC interest rates for late payments will be revised following the Bank of England interest rate decrease.
The Bank of England Monetary Policy Committee, following an emergency meeting, voted on 11 March to decrease the Bank of England base rate to 0.25 per cent from 0.75 per cent.
HMRC interest rates are linked to the Bank of England base rate.
As a consequence of the change in the base rate, HMRC noted its interest rates for the late payment will decrease.
These changes will come into effect on:
- 23 March 2020 for quarterly instalment payments; and
- 30 March 2020 for non-quarterly instalments payments.
Repayment interest rates remain unchanged.
HMRC further advised that information on the interest rates for the payments will be updated shortly.