HMRC interest rates for late payments will be revised following the interest rate rise to 0.75%
HMRC interest rates for late payments will be revised following the Bank of England interest rate rise to 0.75%.
HMRC interest rates are linked to the Bank of England base rate so - as the Bank of England Monetary Policy Committee voted on 17 March 2022 to increase the Bank of England base rate to 0.75% from 0.50% - HMRC interest rates for the late payment will increase.
These changes will come into effect on:
28 March 2022 for quarterly instalment payments
5 April 2022 for non-quarterly instalments payments
The repayment interest rate will remain at 0.5%. The repayment rate is set at Bank Rate minus 1%, with a 0.5% lower limit.