11/02/2009 ~ Interest Payments for 2006 Single Payment Scheme
The latest run of interest payments have been made to customers who have received their full Single Payment Scheme (SPS) 2006 payment after the 30 June 2007 regulatory payment window and since the previous Interest payments were made. These payments have been made under conditions set out by the Secretary of State.
In his written statement in the House of Commons on 2 July 2007 the Secretary of State said interest will be paid to claimants on sums paid after 30 June on the same basis as for the 2005 scheme. They will be paid at the London Interbank Offered Rate (LIBOR) +1%, calculated from 1 July, subject to a minimum interest payment level of £50.
An interest calculator which can help customers work out the interest is shown at the foot of this page.
RPA will continue to make interest payments along these established lines once each final payment is made to customers still awaiting full or partial payment top-ups and includes payments made where entitlement adjustments have now been completed.
Customers wishing to query their interest payment are invited to telephone the Customer Service Centre on 0845 603 7777 between 8:30am and 5pm Monday to Friday, quoting their Single Business Identifier (SBI) and the reference shown at the top of the letter.
INTEREST CALCULATOR
The interest payable is at the 3 month London Interbank Offered Rate (LIBOR) +1%.
Since the end of June 2007 the interest rates have been:
| Dates | Rate (%) | Daily interest on £1000 |
| 1 July* | 6.8194* | 18.68p |
| 2 to 31 July | 7.0006 | 19.18p |
| 1 August to 2 September | 7.0488 | 19.31p |
| 3 to 30 September | 7.74 | 21.21p |
| 1 to 31 October | 7.2775 | 19.94p |
| 1 November to 2 December | 7.2838 | 19.96p |
| 3 December to 1 January | 7.62 | 20.88p |
| 2 to 31 January (2008) | 6.89 | 18.83p |
| 1 February to 2 March | 6.5588 | 17.92p |
| 3 to 31 March | 6.7563 | 18.46p |
| 1 to 30 April | 7.005 | 19.14p |
| 1 to 31 May | 6.8275 | 18.65p |
| 1 to 30 June | 6.8681 | 18.77p |
| 1 to 31 July | 6.9400 | 18.96p |
| 1 to 31 August | 6.7800 | 18.52p |
| 1 to 30 September | 6.7488 | 18.44p |
| 1 to 31 October | 7.3075 | 19.97p |
| 1 to 30 November | 6.7763 | 18.51p |
| 1 to 31 December | 4.8813 | 13.34p |
| 1 to 31 January (2009) | 3.7050 | 10.15p |
| 1 to 28 February | 3.1619 | 8.66p |
* Rate for June 2007
Example
If you were due a payment of £7,500 which was not made until (say) 8 February 2009 the interest due would be:
| Month | Rate x Value x Days | Months interest (£) |
| | |
| 1 July* | 18.68p x 7.5 x 1 | 1.401 |
| 2 to 31 July | 19.18p x 7.5 x 30 | 43.155 |
| 1 August to 2 September | 19.31p x 7.5 x 33 | 47.792 |
| 3 to 30 September | 21.21p x 7.5 x 28 | 44.541 |
| 1 to 31 October | 19.94p x 7.5 x 31 | 46.361 |
| 1 November to 2 December | 19.96p x 7.5 x 32 | 47.904 |
| 3 December to 1 January | 20.88p x 7.5 x 30 | 46.98 |
| 2 to 31 January (2008) | 18.83p x 7.5 x 30 | 42.368 |
| 1 February to 2 March | 17.92p x 7.5 x 31 | 41.664 |
| 3 to 31 March | 18.46p x 7.5 x 29 | 40.151 |
| 1 to 30 April | 19.14p x 7.5 x 30 | 43.065 |
| 1 to 31 May | 18.65p x 7.5 x 31 | 43.361 |
| 1 to 30 June | 18.77p x 7.5 x 30 | 42.233 |
| 1 to 31 July | 18.96p x 7.5 x 31 | 44.082 |
| 1 to 31 August | 18.52p x 7.5 x 31 | 43.059 |
| 1 to 30 September | 18.44p x 7.5 x 30 | 41.49 |
| 1 to 31 October | 19.97p x 7.5 x 31 | 46.43 |
| 1 to 30 November | 18.51p x 7.5 x 30 | 41.648 |
| 1 to 31 December | 13.34p x 7.5 x 30 | 30.015 |
| 1 to 31 January (2009) | 10.15p x 7.5 x 31 | 23.599 |
| 1 to 8 February | 8.66p x 7.5 x 8 | 5.196 |
| | | |
| | Total Payable | £806.495 |
Page published: 11 February 2009