Late Payment Letter Template UK

You've waited long enough. Generate a formal late payment letter with statutory interest, tailored to your invoice — solicitor-built, English law. From £4.99.

What is a Late Payment Letter?

A Late Payment Letter is a formal written demand sent by a creditor to a debtor when a B2B invoice is overdue. It cites the unpaid invoice, claims statutory interest and compensation under the Late Payment of Commercial Debts (Interest) Act 1998, and sets a deadline for payment before escalation.

When do you need one?

When a B2B invoice is past its due date and the standard chasers (reminder emails, calls) have not produced payment. The Late Payment Act 1998 gives B2B creditors automatic statutory rights to interest at 8% above the Bank of England base rate plus a fixed compensation sum — but those rights have to be claimed in writing to take effect.

What does it cover?

The unpaid invoice details, the contractual or statutory due date, statutory interest calculation, fixed compensation (£40, £70 or £100 depending on invoice size), debt recovery costs, payment deadline, and an explicit warning that escalation to a Letter Before Action and county court proceedings will follow non-payment.

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