This regulation applies if an employer has not paid to the Inland Revenue by the due date (as defined by regulation 109(2)) the full amount for which the employer is liable under this Part.

The unpaid amount carries interest at the prescribed rate from the due date until payment (“the interest period”).

Paragraph (2) applies even if the due date is a non-business day as defined by section 92 of the Bills of Exchange Act 188252.

Any change made to the prescribed rate during the interest period applies to the unpaid amount from the date of the change.

Interest is recoverable as if it were an amount payable under the PSA.

“The prescribed rate” means the rate applicable under section 178 of the Finance Act 198953 for the purposes of section 86 of TMA54.