The latest run of interest payments have been made to customers who have received their full Single Payment Scheme (SPS) 2005 payment after the 30 June 2006 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 oral statement in the House of Commons on 22 June 2006 the Secretary of State said he had authorised RPA to make the interest payments at the London Interbank Offered Rate (LIBOR) +1%, calculated from 1 July, subject to a minimum interest payment level of £50.
An interest calculator to help customers work out the interest is shown below.
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 2006 the interest rates have been:
| Dates | Rate (%) | Daily interest on £1000 |
| 1 and 2 July (1)* | 5.7175* | 15.66p |
| 3 to 31 July (2) | 5.75 | 15.75p |
| 1 to 31 August | 5.79 | 15.86p |
| 1 to 30 September | 5.9825 | 16.39p |
| 1 to 31 October | 6.0825 | 16.66p |
| 1 to 30 November | 6.1963 | 16.98p |
| 1 December and 1 Jan | 6.26 | 17.15p |
| 2 to 31 January (2007) | 6.3244 | 17.33p |
| 1 to 28 February | 6.5956 | 18.07p |
| 1 March to 1 April | 6.5325 | 17.90p |
| 2 to 30 April | 6.6269 | 18.16p |
| 1 to 31 May | 6.7256 | 18.43p |
| 1 June to 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 |
* Rate for 30 June 2006
Example
If you were due a payment of £9,500 which was not made until (say) 9 January 2009 the interest due would be:
| Month | Rate x Value x Days | Months interest (£) |
| | |
| 1 and 2 July (1)* | 15.66p* x 9.5 x 2 | 2.975 |
| 3 to 31 July (2) | 15.75p x 9.5 x 29 | 43.391 |
| 1 to 31 August | 15.86p x 9.5 x 31 | 46.708 |
| 1 to 30 September | 16.39p x 9.5 x 30 | 46.712 |
| 1 to 31 October | 16.66p x 9.5 x 31 | 49.064 |
| 1 to 30 November | 16.98p x 9.5 x 30 | 48.393 |
| 1 December and 1 Jan | 17.15p x 9.5 x 32 | 52.136 |
| 2 to 31 January (2007) | 17.33p x 9.5 x 30 | 49.391 |
| 1 to 28 February | 18.07p x 9.5 x 28 | 48.066 |
| 1 March to 1 April | 17.90p x 9.5 x 32 | 54.416 |
| 2 to 30 April | 18.16p x 9.5 x 29 | 50.031 |
| 1 to 31 May | 18.43p x 9.5 x 31 | 54.276 |
| 1 June to 1 July | 18.68p x 9.5 x 31 | 55.013 |
| 2 to 31 July | 19.18p x 9.5 x 30 | 54.663 |
| 1 August to 2 September | 19.31p x 9.5 x 33 | 60.537 |
| 3 to 30 September | 21.21p x 9.5 x 28 | 56.419 |
| 1 to 31 October | 19.94p x 9.5 x 31 | 58.723 |
| 1 November to 2 December | 19.96p x 9.5 x 32 | 60.678 |
| 3 December to 1 January | 20.88p x 9.5 x 30 | 59.508 |
| 2 to 31 January (2008) | 18.83p x 9.5 x 30 | 53.666 |
| 1 February to 2 March | 17.92p x 9.5 x 31 | 52.774 |
| 3 to 31 March | 18.46p x 9.5 x 29 | 50.857 |
| 1 to 30 April | 19.14p x 9.5 x 30 | 54.549 |
| 1 to 31 May | 18.65p x 9.5 x 31 | 54.924 |
| 1 to 30 June | 18.77p x 9.5 x 30 | 53.495 |
| 1 to 31 July | 18.96p x 9.5 x 31 | 55.837 |
| 1 to 31 August | 18.52p x 9.5 x 31 | 54.541 |
| 1 to 30 September | 18.44p x 9.5 x 30 | 52.554 |
| 1 to 31 October | 19.97p x 9.5 x 31 | 58.812 |
| 1 to 30 November | 18.51p x 9.5 x 30 | 52.754 |
| 1 to 31 December | 13.34p x 9.5 x 30 | 38.019 |
| 1 to 9 January (2009) | 10.15p x 9.5 x 9 | 8.678 |
| | | |
| | Total Payable | £1,592.56 |
|