Late PaymentHow to chase an unpaid invoice
Most late payers pay once you follow up firmly and in writing. Here's an escalation plan that keeps the relationship intact for as long as possible, and puts you in a strong position if it doesn't.
1. Check your invoice
Make sure it shows everything an invoice must (checklist), went to the right person, and states the due date. A missing PO number is a common excuse for not paying.
2. Friendly reminder (a few days late)
Short and polite: invoice number, amount, original due date, and how to pay. Assume it was missed, not refused.
3. Firm reminder (about 2 weeks late)
Restate the amount and give a new date. For business clients, mention that you're entitled to statutory interest and compensation under the Late Payment of Commercial Debts (Interest) Act 1998.
4. Final notice
Add the figures: interest at 8% above the Bank of England base rate, plus fixed compensation of £40, £70 or £100 depending on the size of the debt. Work out your exact claim with the calculator. Statutory interest only applies to business-to-business debts, not to consumers.
5. Letter before claim
Before going to court, send a formal letter giving a final deadline and saying you'll start a claim if it isn't paid. If your customer is an individual, including a sole trader, the court's Pre-Action Protocol for Debt Claims applies: send a letter of claim with the required information and give them 30 days to reply.
6. Court claim
You can apply to the county court for money you're owed, online or by post, through GOV.UK's Make a court claim for money. Court fees apply but can usually be added to the claim. For larger or disputed debts, take advice first.
Ready-written letters
The UK Freelancer Contract Pack includes the friendly reminder, firm reminder and final notice (citing the 1998 Act, with a worked interest example), plus a services agreement with late-payment terms built in.
Get the pack — £15General information, not legal advice. Sources: GOV.UK late commercial payments guidance; GOV.UK Make a court claim for money; Civil Procedure Rules, Pre-Action Protocol for Debt Claims.
General information, not legal advice. Figures checked against GOV.UK and the Bank of England on 1 October 2026. Your contract may set its own late-payment rate instead of the statutory one.