The Ports Act 1991 (Levy on Disposals of Land, etc.) Order 1992

Interest

15.—(1) Subject to the provisions of this Order, a chargeable company which fails to pay an amount of levy within the period within which it is payable in accordance with this Order shall also pay to the appropriate Minister interest on that amount at the rate applicable under paragraph (2) below from the first day after the end of that period until that amount is paid.

(2) The rate applicable under this paragraph is—

(a) in respect of the period beginning with the first day referred to in paragraph (1) above and ending with the annual reporting date relating to the disposal period in which that first day falls, a rate equal to—

(i) base rate plus one per cent; multiplied by—

(ii) A, where A is the difference between 100 per cent and the current rate of corporation tax; and

(b) in respect of the period beginning with the first day after that annual reporting date and ending with the day on which the amount of levy is paid, a rate equal to—

(i) base rate plus three per cent; multiplied by—

(ii) A, where A is the difference between 100 per cent and the current rate of corporation tax;

in each case compounded every three months.

(3) (a) In this Order, a reference to base rate, in relation to a period in respect of which interest is payable, shall be construed in accordance with the following provisions of this paragraph.

(b) If there is in respect of that period one, and only one, published annual base rate of the Bank of England, a reference to base rate is a reference to that rate.

(c) If there is in respect of one part of that period a published annual base rate of the Bank of England which is different from such rate in respect of each of the one or more other parts of that period, a reference to base rate is a reference to the time-weighted average of such rates over that period.

(d) If there is in respect of that period no published annual base rate of the Bank of England, a reference to base rate means the average of the time-weighted averages of the base lending rates over that periodof—

(i) Bank of Scotland,

(ii) Barclays Bank plc,

(iii) Lloyds Bank plc,

(iv) Midland Bank plc,

(v) National Westminster Bank plc, and

(vi) The Royal Bank of Scotland plc.

(e) If there is a published annual base rate of the Bank of England in respect of each of one or more parts of that period but not in respect of every part of that period, a reference to base rate is a reference to the time-weighted average of—

(i) the published annual base rate of the Bank of England or the time-weighted average of such published annual base rates for the partor parts in respect of which there is such a published annual base rate; and

(ii) the time-weighted averages of the bank lending rates over the remainder of the said period of the banks specified in sub-paragraph (d) above.