Payment reminder and final demand letter templates for UK subcontractors

How to use these letters

Send each one by email, keep a copy, and attach the invoice again every time. Change the square brackets, keep the tone calm, and give a date, not "soon". Move to the next letter only when the date in the last one has passed. Each step builds the paper trail you would need if a claim ever became necessary. For the process around the letters, read how to chase an unpaid invoice.

1. Polite reminder (the day after the due date)

This is how to chase an invoice politely. It assumes a simple oversight, which is usually true.

Subject: Reminder: invoice [NUMBER] due [DATE]

Hi [NAME],

I hope you're well. Just a quick note that invoice [NUMBER] for £[AMOUNT], dated [INVOICE DATE], was due on [DUE DATE] and I can't see it in my account yet. I've attached a copy.

Could you let me know when it will be paid? If it has already gone, please ignore this and thank you.

Kind regards,
[YOUR NAME]

2. Firmer chaser (7 to 14 days later)

For a business customer

Subject: Overdue invoice [NUMBER]: payment needed by [DATE]

Dear [NAME],

Invoice [NUMBER] for £[AMOUNT] was due on [DUE DATE] and is now [X] days overdue. I wrote on [DATE OF FIRST REMINDER] and haven't had a reply.

Please pay the full amount by [DATE, 7 DAYS AHEAD] to:
Account name: [NAME]  Sort code: [SORT CODE]  Account number: [NUMBER]  Reference: [NUMBER]

As this is a business-to-business invoice, I am entitled under the Late Payment of Commercial Debts (Interest) Act 1998 to claim statutory interest and a fixed sum for recovery costs if it stays unpaid. I would prefer not to do that, so please let me know today if there is a problem with the invoice.

Kind regards,
[YOUR NAME]

For a homeowner or private customer

Subject: Invoice [NUMBER] for work at [ADDRESS]: payment overdue

Dear [NAME],

Invoice [NUMBER] for £[AMOUNT] for the work completed on [DATE] was due on [DUE DATE] and is now [X] days overdue. A copy is attached.

Please pay by [DATE, 7 DAYS AHEAD] using the details on the invoice. If there is anything about the work you'd like to discuss, please call me on [PHONE] so we can sort it out.

If I don't hear from you by then, I will need to consider other ways of recovering the money, which may include a court claim.

Kind regards,
[YOUR NAME]

The statutory interest scheme is for business customers. For a private customer, only mention interest or a fee if you agreed it in writing before the work. See chasing a homeowner for payment.

3. Final demand before a court claim (another 7 to 14 days)

This is a final demand: a clear last chance. It says exactly what is owed, by when and what happens next. Add interest and the fixed fee only for business customers. The late payment interest calculator works out the figures, and GOV.UK says to send a new invoice if you add interest.

Subject: Final demand: invoice [NUMBER], £[TOTAL] payable by [DATE]

Dear [NAME],

I have written to you on [DATE 1] and [DATE 2] about invoice [NUMBER] dated [DATE], for work carried out at [SITE/ADDRESS]. It remains unpaid and is now [X] days overdue.

The amount due is:
  Invoice: £[AMOUNT]
  Statutory interest to [DATE] at 8% over the Bank of England base rate: £[INTEREST] (business customers only)
  Fixed recovery costs: £[40/70/100] (business customers only)
  Total: £[TOTAL]

Please pay this in full by [DATE, 7 TO 14 DAYS AHEAD]. If I do not receive payment, or a written explanation of why you dispute the invoice, by that date, I intend to start a court claim for the debt, interest and my costs without further notice.

Kind regards,
[YOUR NAME]
[ADDRESS, PHONE, EMAIL]

Only say you will start a claim if you are prepared to. GOV.UK explains how to make a court claim for money you are owed, online or by post, and notes mediation can be quicker and cheaper. See Money Claim Online for an unpaid invoice.

Tips that make the letters work

• One clear request and one clear date. Do not mix a reminder with a complaint.
• Attach the invoice and quote the number in the subject line, so the right person can find it.
• Use the same email thread so the history is visible.
• If they dispute it, ask in writing for the reason and respond to that point before sending a final demand.
• CIS work: make sure the amount you demand matches the invoice and the deduction already agreed. See the labour-only invoice guide.

A letter in English is not always enough if your customer works in French. See the English and French reminder letter. This is general information, not legal advice.