08 February 2026
The Bank of England’s Monetary Policy Committee (MPC) voted to maintain the bank base rate at 3.75%.
The Committee voted by a majority of five – four to maintain Bank Rate and Four members voted to reduce Bank Rate by 0.25 percentage points, to 3.5%.
For payroll professionals, it is good to be aware of the impact this announcement has on HM Revenue and Customs’ (HMRC’s) late payment interest charges.
HMRC interest rates are set in legislation and are linked to the Bank of England base rate, these rates are:
- late payment interest – set at base rate plus 2.5%
- repayment interest – set at base rate minus 1%, with a lower limit of 0.5%.
The next Bank of England announcement is set for 19 March 2026.
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