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Invoice in GBP

Bill in sterling with 20% VAT, a sort code and Faster Payments.

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Exactly what prints

Quick Tool Overview

The GBP builder starts at 20% VAT with the registration and company-number fields a UK limited company must show, a sort code and account number for Faster Payments, and the statutory late-payment clause ready to adopt.

What it does
Builds an invoice priced in GBP
You give it
Your VAT and company numbers, and the lines
You get back
A UK VAT invoice with Faster Payments details
Best for
Billing UK businesses
Invoice Tools Free, unlimited use No sign-up Runs in your browser

About the Invoice in GBP

A sterling invoice to a UK business is straightforward once three things are right. VAT is 20% at the standard rate, with 5% reduced and 0% zero rates for defined supplies — and you only charge it at all if you are registered, which is compulsory above the turnover threshold and optional below it.

Payment is by Faster Payments, which needs a six-digit sort code and an eight-digit account number and which arrives in seconds rather than days. An IBAN is only needed for a payment from abroad. Quoting the invoice number as the payment reference is what lets you match the money without chasing.

Terms are conventionally Net 30, and the Late Payment of Commercial Debts (Interest) Act 1998 gives you a statutory right to interest at 8% above the Bank of England base rate plus a fixed recovery cost whether or not your terms mention it — but quoting the clause on the invoice makes the claim far easier to press. A limited company must also show its registered name, registered office and company number.

Key features of the Invoice in GBP

20% VAT, or none

An unregistered business must not show a VAT line at all.

Registered details

Registered name, office and company number, as company law requires.

Sort code and account

Faster Payments arrives in seconds; an IBAN is only needed from abroad.

Statutory interest clause

8% over base plus a fixed recovery cost, quoted on the invoice.

Payment reference prompt

Asking for the invoice number is what lets you match the money.

How to use the Invoice in GBP

  1. 1

    Set VAT to 20% if registered

    And leave it off entirely if you are not — an unregistered business must not show a VAT line.

  2. 2

    Add your VAT and company numbers

    A limited company must show its registered name, office and number on invoices.

  3. 3

    Give a sort code and account number

    Faster Payments arrives in seconds. An IBAN is only needed from abroad.

  4. 4

    Ask for the invoice number as the reference

    It is what lets you match the payment without a phone call.

  5. 5

    Quote the late payment clause

    The statutory wording is in the terms block ready to use.

Frequently asked questions

When your taxable turnover passes the registration threshold in any rolling twelve months, or when you expect to pass it in the next thirty days. Below that you can register voluntarily, which is worth doing if your customers are themselves registered.

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