JURISDICTION FILE
English commercial law is creditor-friendly by design. The Pre-Action Protocol sets clear expectations. The County Court or High Court follows if those expectations are not met. Statutory interest at base rate plus 8%. The system works — if you know how to use it.
HOW WE COLLECT HERE
"The company is required to pay the above sum or secure or compound it to the creditor's satisfaction within 21 days of service. Failure to comply will result in a presumption of insolvency under section 459C(2)(a) of the Corporations Act / Insolvency Act 1986."
The United Kingdom operates under common law — a system that favours documented claims and procedural compliance. The Civil Procedure Rules (CPR) require creditors to follow a Pre-Action Protocol before issuing court proceedings. InterStation's London office — at 128 City Road, EC1V 2NX — is the operational headquarters for UK collection.
UK commercial debt collection operates under the common law of contract, the Late Payment of Commercial Debts (Interest) Act 1998, the Civil Procedure Rules 1998, and the Insolvency Act 1986. Statutory interest is 8% above the Bank of England base rate, accruing automatically. Plus GBP 40–100 fixed compensation per invoice.
Late Payment Act 1998 · Insolvency Act 1986 · CPR 1998
Statutory interest at 8% above Bank of England base rate. Fixed compensation GBP 40-100 per invoice. Automatic in B2B — no contractual provision needed.
The CPR Pre-Action Protocol requires the creditor to send a Letter Before Action at least 30 days before issuing proceedings. Courts take Protocol compliance seriously — a creditor who issues proceedings without a compliant LBA can be penalised on costs even after winning.
Our LBAs are sent from our London address, on UK legal letterhead, citing the specific CPR Practice Direction and the Late Payment Act entitlements. The debtor sees a UK creditor operating within the UK system.
LBA
Letter Before Action
CPR Pre-Action Protocol. 30 days to respond. Non-compliance = costs penalties at trial.
MCOL
Money Claims Online
Electronic filing, GBP 35-455 fees. Default judgement if no response in 14 days.
STATUTORY DEMAND
Insolvency threat
21 days to pay. Non-compliance = presumption of insolvency. No court required to serve.
HCEO
High Court enforcement
Private officers, Writ of Control. Attend premises, seize goods. Fees charged to debtor.
For undisputed corporate debts above GBP 750, the Statutory Demand under the Insolvency Act 1986 is the ultimate pressure instrument. If the debtor fails to comply within 21 days, the creditor can present a Winding-Up Petition to the High Court.
The commercial reality: no solvent UK company allows a winding-up petition to proceed. The reputational and financial damage — frozen bank accounts, suspended credit facilities, alarmed suppliers — is catastrophic.
JURISDICTION BRIEFING
How InterStation collects in the UK — a 90-second briefing
For aggressive enforcement, County Court judgements above GBP 600 can be transferred to the High Court for enforcement by High Court Enforcement Officers (HCEOs). HCEOs operate under a Writ of Control and have broader powers and faster response times than County Court bailiffs.
Most UK banks freeze the debtor's accounts the moment a winding-up petition is advertised — before the court hearing even takes place. No solvent UK company allows a winding-up petition to proceed.
Since Brexit, the European Enforcement Order, European Order for Payment, and Brussels Regulation recast no longer apply between the UK and EU member states. Cross-border enforcement now relies on bilateral arrangements and the Hague Convention on Choice of Court Agreements 2005.
Third-Party Debt Order
Bank account freeze. Court orders bank to pay creditor directly.
Charging Order
Secures judgement debt against real property.
Attachment of Earnings
Wage garnishment via employer.
Winding-Up Petition
Published in London Gazette. Banks freeze accounts immediately.
ENFORCEMENT PROTOCOL
The Pre-Action Protocol demands it. 14-30 days to respond. Failure to engage means costs penalties at trial.
DAY 0: Letter Before Action (LBA). The Pre-Action Protocol demands it. 14-30 days to respond. Failure to engage means costs penalties at trial.For disputed claims: Money Claims Online at GBP 455 for a GBP 50K claim. For undisputed: a Statutory Demand. 21 days.
DAY 30: County Court Claim / Statutory Demand. For disputed claims: Money Claims Online at GBP 455 for a GBP 50K claim. For undisputed: a Statutory Demand. 21 days.No defence filed? Judgement by default. No payment after Statutory Demand? The company is presumed insolvent.
DAY 51: Default Judgement / Insolvency. No defence filed? Judgement by default. No payment after Statutory Demand? The company is presumed insolvent.High Court Enforcement Officers attend the premises. Or: a winding-up petition is filed. The company faces dissolution.
DAY 60+: HCEO / Winding-Up Petition. High Court Enforcement Officers attend the premises. Or: a winding-up petition is filed. The company faces dissolution.The Pre-Action Protocol demands it. 14-30 days to respond. Failure to engage means costs penalties at trial.
DAY 0: Letter Before Action (LBA). The Pre-Action Protocol demands it. 14-30 days to respond. Failure to engage means costs penalties at trial.For disputed claims: Money Claims Online at GBP 455 for a GBP 50K claim. For undisputed: a Statutory Demand. 21 days.
DAY 30: County Court Claim / Statutory Demand. For disputed claims: Money Claims Online at GBP 455 for a GBP 50K claim. For undisputed: a Statutory Demand. 21 days.No defence filed? Judgement by default. No payment after Statutory Demand? The company is presumed insolvent.
DAY 51: Default Judgement / Insolvency. No defence filed? Judgement by default. No payment after Statutory Demand? The company is presumed insolvent.High Court Enforcement Officers attend the premises. Or: a winding-up petition is filed. The company faces dissolution.
DAY 60+: HCEO / Winding-Up Petition. High Court Enforcement Officers attend the premises. Or: a winding-up petition is filed. The company faces dissolution.FREQUENTLY ASKED
Need to collect a debt in the United Kingdom? Contact us with your case details and we will confirm our approach within 24 hours.
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