- The Bank of England’s base rate will decrease from 4.25% to 4.5% starting 28 May 2025, prompting changes in interest rates for late payments in the UK and Isle of Man.
- Effective 28 May 2025, the late payment interest rate will be set at 6.75% and the repayment interest rate at 3.25%.
- Timely payments will exempt individuals from late payment interest, and those who have overpaid may be eligible for repayment interest; contact details for VAT payment inquiries are provided.
Source gov.im
