Repayment interest rate4.

(1)

Except where regulation 5 applies, the repayment interest rate for the purposes of section 102 of the Finance Act 20095 (repayment interest on sums to be paid by HMRC), is the higher of—

(a)

0.5% per annum; and

(b)

the percentage per annum found by applying the following formula—

Bank of England rate – 1.

(2)

The interest rate found under paragraph (1) applies on and after the operative date.