30 March: Following the decreases in the Bank of England base rate, HMRC interest rates for late payments have also been revised.
The Bank of England Monetary Policy Committee voted on 11 March 2020 to decrease the Bank of England base rate to 0.25% from 0.75%. A second rate reduction was voted on 19 March 2020 to take the base rate to 0.1% from 0.25%.
These changes come into effect for HMRC late payments on:
• 23 March 2020 and 30 March 2020 for quarterly instalment payments; and• 30 March 2020 and 7 April 2020 for other payments.
HMRC’s webpage with information on the interest rates for the payments is updated as each of these changes come into force.
It should be noted, however, that repayment interest rates will remain unchanged as they are already at the de minimis of 0.5% specified by legislation.