The rate of interest on repayments will be the Bank of England base rate minus 1, subject to the minimum rate of ½%.  The rate of interest on unpaid tax will be the Bank of England base rate plus 2.5%.

The new rates will take affect 13 working days after the most recent meeting of the Bank of England’s monetary policy committee, with the first rate change applying from 29 September 2009, and will apply to all taxes to ensure all taxpayers are treated equally.

Posted on 24 Sep 2009