Following the reduction in the Bank of England base rate, HM Revenue & Customs (HMRC) have confirmed that their interest rates will be reduced accordingly.
Late payment interest will reduce to 7% from 7.25%. Repayment interest – paid on tax repayments – will be reduced to 3.5%.
The change will come into effect from:
-17 February 2025 for quarterly instalment payments.
-25 February 2025 for non-quarterly instalments payments.
See: https://www.gov.uk/government/news/hmrc-late-payment-interest-rates-to-be-revised-after-bank-of-england-lowers-base-rate--2
The government has published further draft legislation on the UK’s Carbon Border Adjustment Mechanism (CBAM). This will have consequences for importers bringing certain carbon-intensive goods into the UK.
At the end of April 2026, new legislation will come into force designed to address the fear of losing benefits support if a new job does not work out.
