If a customer will not pay, work through a fixed sequence: a polite reminder, a firmer final reminder, a formal Letter of Claim, and then a county court money claim online, where fees start at £35. If the customer is a business, you can add statutory interest and a fixed recovery charge. The earlier you start chasing, and the more of it is in writing, the stronger your position at every later step.
This is not legal advice. It summarises GOV.UK and Civil Procedure Rules guidance for England and Wales. Scotland and Northern Ireland have different court processes. For disputed or large debts, speak to a solicitor or Citizens Advice.
Why is this such a common problem for electricians?
Because you finish the job, leave, and the leverage goes with you. ElectriciansForums has thread after thread on it: "Customer not paying, feel like I'm getting the run around", "Customer hasn't paid. Best course of action?" and "I have not been paid, what shall I do" among them. The advice in those threads converges on the same route this guide sets out.
What are the steps, in order?
| Step | When | What to send | Tone |
|---|---|---|---|
| 1. Invoice | Day you finish | Invoice with due date and how to pay | Normal |
| 2. Friendly reminder | A few days after due date | Short message with the invoice attached | "Just a reminder" |
| 3. Final reminder | About a week later | States the amount, the date and next steps | Firm, factual |
| 4. Letter of Claim | If still unpaid | Pre-Action Protocol letter and forms (individuals) | Formal |
| 5. Court claim | 30 days after the Letter of Claim, if no reply | Money claim online, or paper form N1 | Formal |
The early steps do most of the work. Some late payers are disorganised rather than dishonest, and a prompt reminder with a payment link gets paid. The longer you wait, the more it looks like you do not mind.
What does a business customer owe me if they pay late?
If your customer is a business, the late payment rules on GOV.UK apply:
- If you did not agree a payment date, payment is late 30 days after the customer gets the invoice or you provide the service, whichever is later (GOV.UK).
- You can charge statutory interest of 8% plus the Bank of England base rate (GOV.UK), unless your contract sets a different rate.
- You can add a fixed recovery sum, once per payment (GOV.UK):
| Amount of debt | Fixed sum you can charge |
|---|---|
| Up to £999.99 | £40 |
| £1,000 to £9,999.99 | £70 |
| £10,000 or more | £100 |
GOV.UK suggests sending a new invoice if you decide to add interest. Mentioning these charges in your final reminder often moves a business payment along on its own.
What about a homeowner?
Statutory late payment interest is for business-to-business debts. For a court claim against a homeowner, GOV.UK says the interest rate for other types of debt "is usually 8%", calculated daily (GOV.UK, make a court claim for money). If your terms and conditions set out an interest rate, and the customer agreed to them, that is your starting point instead.
Before you go to court against an individual, including a sole trader, the Pre-Action Protocol for Debt Claims sets out what the court expects:
- A dated Letter of Claim, sent by post, stating the amount, whether interest or charges are continuing, and how to pay.
- Enclosed: the Information Sheet and Reply Form from the Protocol, and a Financial Statement form.
- If there is no reply within 30 days of the date on the letter, you may start proceedings.
- If the customer says they are seeking debt advice, you must allow a reasonable time for it.
One caveat from the Protocol itself: it does not apply where the debt is covered by another pre-action protocol, and it names the Construction and Engineering protocol as an example. If the customer is disputing the quality of the work rather than simply not paying, get advice on which process applies before you issue.
How much does a court claim cost?
The court fee is based on the amount claimed plus interest (GOV.UK):
| Claim amount | Court fee |
|---|---|
| Up to £300 | £35 |
| £300.01 to £500 | £50 |
| £500.01 to £1,000 | £70 |
| £1,000.01 to £1,500 | £80 |
| £1,500.01 to £3,000 | £115 |
| £3,000.01 to £5,000 | £205 |
| £5,000.01 to £10,000 | £455 |
You can usually claim online. If the customer disputes a claim of £10,000 or less, GOV.UK says you will be told you must attend free telephone mediation. If you win and they still do not pay, you can ask the court to enforce, for example with a warrant of control (bailiffs), which carries a further fee. A judgment you cannot collect is worth little, so think about whether the customer can actually pay before you spend money on enforcement.
How do I stop it happening next time?
- Agree terms before you start. Price, payment date and stage payments in writing, including any interest you will charge.
- Take deposits on larger jobs, especially where you are buying materials.
- Invoice the same day, with a payment link, while the customer is still pleased with the work.
- Chase on a schedule, not on a mood. It is easy to put off because it is awkward. A fixed sequence removes the awkwardness.
That last point is the one a system handles better than a person. Remi's PaidUp add-on, from £19 a month, chases unpaid invoices on a schedule so you are not the one ringing round in the evening; the Remi set-up for electricians also covers the phones and bookings that bring the work in.
The short version
Chase early, in writing, on a fixed schedule: reminder, final reminder, Letter of Claim, court claim. For business customers you can add statutory interest at 8% plus base rate and a fixed £40 to £100 recovery charge. For individuals, follow the Pre-Action Protocol and wait 30 days for a reply before issuing. Online court fees start at £35. The cheapest debt to recover is the one you prevented with clear terms, a deposit and a same-day invoice.