N1 Claim Form - Claiming interest
If you are claiming for a fixed amount of money, you can also claim interest on the amount outstanding. This is usually referred to as 'section 69 interest'.
If both parties are businesses and the debt relates to a commercial transaction, then it may be more appropriate to use the provisions of the Late Payment of Commercial Debts Act. This allows for a higher rate of interest and for additional debt collection charges. Details can be found at www.late-payment-law.co.uk. Do not use this, if either you or the claimant is a private individual.
To claim section 69 interest you first have to work out the total amount of your claim - excluding interest and court fees. You are entitled to claim interest at 8% per annum on this amount. Work out the 'daily rate' by multiplying 'the amount of your claim' x 0.00022. You also need to count up the number of days from when the money became due up to the date on which you issue the claim. Multiply the daily rate by the number of days to work out the 'interest so far'. Then drop each of these numbers into the following paragraph:
The claimant claims interest under section 69 of the County Courts Act 1984 at the rate of 8% a year, from [date when the money became due] to [date of issue of claim] of £[interest so far] and also interest at the same rate up to the date of judgment or earlier payment at a daily rate of [daily rate].
This paragraph should then be included in your particulars of claim, probably as the last paragraph.