With effect from 1 July 2023, the late payment interest rate is 12% per annum (that is based on the ECB rate as at 1 July 2023 of 4% plus the margin of 8%).
Penalty interest due for late payments should be calculated on a daily basis.
Unless otherwise specified in an agreed contract, the penalty rate is the European Central Bank main refinancing rate plus 8 percentage points.
The ECB rates in force on 1 January and 1 July apply for the following six months in each year. Only one ECB rate will apply to a late payment – that is the ECB rate in force on the payment date.
The ECB rate can be checked on the European Central Bank website.